UK Immigration Law
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You can only extend a Tier 1 Entrepreneur visa on the basis of a £50K investment if the initial visa was granted on that basis.
If you obtained the visa on the basis of having £200K available to invest then it is a requirement of the visa when trying to obtain an extension that you have invested the £200K figure into the business (it doesn't need to have been spent - simply invested into the business), that you are registered as self-employed or as a Director of a Company and that you have created new jobs.
Could you please provide a reference to appropriate source? Maybe from UKBA site?