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Criteria to be considered a small or a large sponsoring organisation

sponsoring organisation

Criteria to be considered a small or a large sponsoring organisation

The fee a company pays while applying for a sponsor licence depends on the size and the type of the organisation. 

The size and the type of the organisation will also determine how much you need to pay for your candidates’ immigration skills charge when you sponsor them under the Skilled Worker route. 

So, how do you find out if you’re a small or large organisation? The answers are below.

Simply put, an organisation qualifies as a small organisation if two of the following criteria apply:

  • The aggregate turnover per fiscal year is not more than £10.2 million net (or £12.2 million gross)
  • The aggregate balance sheet total per given fiscal year is not more than £5.1 million net (or £6.1 million gross)
  • The aggregate number of employees is not more than 50

There are also some other circumstances when you can pay a small organisation fee to apply if you:

  • are applying for a licence under the Temporary Worker routes only;
  • have charitable status;
  • are a sole trader (not a company) and you employ fewer than 50 people.

Otherwise, you must pay the large organisation fee.

Exceptions

There are also a few companies that can’t qualify as small organisations. 

For example, if their accounts relate to:

  • a public company
  • a member of an ineligible group

Or if a company is:

  • an authorised insurance company 
  • a banking company
  • an e-money issuer
  • a MiFID investment firm (An investment firm under the Markets in Financial Instruments Directive [MiFID] refers to, “any legal person whose regular occupation or business is the provision of one or more investment services to third parties and/or the performance of one or more investment activities on a professional basis”)
  • a UCITS management company (A UCITS Management Company [Undertakings for Collective Investment in Transferable Securities] is a company authorised under the European Communities Regulations 2011)
  • carrying out insurance market activity
  • a scheme funder of a Master Trust scheme within the meanings given by section 39(1) of the Pension Schemes Act 2017 (interpretation of Part 1)

A group also can’t qualify as a small organisation if any one of its members is:

  • a company whose transferable securities are admitted to trading on the UK regulated market;
  • a body corporate (other than a company) whose shares are admitted to trading on the UK regulated market;
  • a person (other than a small company) who has permission under Part 4a of the Financial Services and Markets Act 2000 to carry out a regulated activity;
  • a small company that is an authorised insurance company, a banking company, an e-money issuer, a MiFID investment firm or a UCITS management company;
  • a person who carries out insurance market activity.

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