International students on a UK Student route visa cannot start or run a business while studying. The rules are strict and apply from the first day of leave. Preparation is allowed; trading is not. The route to running a UK business after graduation is the Graduate visa or the Innovator Founder visa. This page sets out the general position, from an accountant’s perspective. This is general information, not immigration advice. For your specific case, speak to a qualified OISC-regulated immigration adviser or a solicitor.
The UK Immigration Rules for the Student route prohibit:
Side hustles, freelance work, platform work (Deliveroo, Uber, delivery platforms treating workers as self-employed), content monetisation, selling on marketplaces at scale — all of these fall within “business activity” and are prohibited. Modest earnings do not change the status. This is general information, not immigration advice — a qualified immigration adviser should confirm your specific case.
The practical implication: a Student route visa holder can prepare a venture, hold shares in a company, and even found a company on paper — but they cannot be the operating founder running it day to day while studying. This is general information, not immigration advice — the Home Office may interpret your specific activity differently.
The Graduate visa lets a UK graduate stay for two years after a Bachelor’s or Master’s (three years after a PhD) with the right to:
Application must be made before the Student visa expires. No employer sponsorship needed. This is the straightforward route for most graduate founders. This is general information, not immigration advice — application requirements change; check GOV.UK or an OISC adviser.
For foreign nationals who want to establish and run an innovative UK business. Requires:
Grants three years’ leave, extendable, with a route to indefinite leave to remain. More flexible than the predecessor Innovator and Start-up visas — the £50,000 investment-funds requirement was removed in 2023. This is general information, not immigration advice — endorsement criteria and routes to settlement change; check GOV.UK or an OISC adviser.
Two frequently confused things. Non-UK residents can form a UK limited company (there is no residency or nationality requirement to be a director of a UK private company). But forming a company and running it are different:
This is the gap international students often fall through: they can incorporate, so they do, assuming that answers the question. It does not. This is general information, not immigration advice — the Home Office will look at the facts of what you actually do, not what the paperwork says.
Once a graduate has Graduate-visa or Innovator-Founder permission to run a business, the accounting setup is the same as for any UK founder. See the graduate founder finance checklist for the first-year walkthrough: structure, bank account, Xero, Corporation Tax, PAYE, VAT, salary and dividends.
Two additional considerations for a founder on an Innovator Founder visa:
Can: company formation, accounting, tax, payroll, Xero setup, management accounts for the business, and advice on the finance side of the Innovator Founder route (annual reporting on business performance).
Cannot: immigration advice, visa applications, Home Office correspondence, status assessments. AccTek is not an OISC-regulated immigration adviser. For visa questions, use the Home Office’s register of immigration advisers or consult a solicitor.
Not while holding a Student route visa. The Immigration Rules prohibit self-employment and business activity. Preparation is allowed. The Graduate visa and Innovator Founder visa both permit running a business after the Student visa ends. This is general information, not immigration advice — confirm your specific case with an OISC adviser.
Holding shares is not business activity. Being a working director — signing contracts, directing day-to-day operations, taking a salary — is. The Home Office looks at what you actually do, not what the paperwork says. This is general information, not immigration advice.
The company itself is a separate legal person and continues to exist regardless of its director’s visa status. If the director is in breach of their visa conditions, that is an immigration problem for the individual, not for the company — but the Home Office can and does take enforcement action. This is general information, not immigration advice.
You apply before your Student visa expires, usually in your final term. You need to have completed the course that your Student sponsor confirmed, so applications are made after the sponsor has told the Home Office you have completed. This is general information, not immigration advice — check GOV.UK or an OISC adviser for current application timing.
The £50,000 investment-funds requirement was removed in April 2023. The route now relies on endorsement by an approved body, which assesses the business plan on innovation, viability and scalability. This is general information, not immigration advice — current requirements may differ; check GOV.UK.
Official guidance: Student visa, Graduate visa, Innovator Founder visa, register of UK immigration advisers. AccTek is independent of the Home Office and GOV.UK. AccTek is not an OISC-regulated immigration adviser.
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Related: university spin-outs and student startups (hub) | graduate founder finance checklist
Godwin Pinto ACA (ICAI) is the founder of AccTek and a member of ICPA, with 20+ years of experience in accounting and tax for contractors, startups and SMEs. Previously at PwC.
AccTek is a member firm of the Institute of Certified Practising Accountants (ICPA), and our founder is a member of the Association of International Accountants (AIA) holding an AIA Practising Certificate. Our accountants hold qualifications and accreditations from trusted professional bodies including the AIA, ICPA, AAT and ACCA.
