Who May File for Change of Status to E-2 Classification
The E-2 nonimmigrant classification allows a national of a treaty country (a country with which the United States maintains a treaty of commerce and navigation, or with which the United States maintains a qualifying international agreement, or which has been deemed a qualifying country by legislation) to be admitted to the United States when investing a substantial amount of capital in a . May 15, · The E-2 visa is a nonimmigrant visa, meaning it is temporary, while green cards are permanent. Moreover, a green card through investment requires a dollar investment of $, or more, while an E-2 visa has no dollar minimum set in law. Key Features of the E-2 Visa Let’s review some of the pluses, minuses, and issues surrounding the E-2 visa:Author: Kyle Knapp.
The E-2 visa allows a citizen of a foreign country to enter the United States to finance and manage a business. People describe the E-2 visa as the next best thing to citizenship, since unlimited extensions are possible. A person with an E-2 visa can live in America for the rest of their life. The holder of an E-2 visa can stay in the United States as long as they run the company listed on their application.
Unlike most visas, the E-2 visa has no true expiration date. The holder doesn't have to keep a home in a foreign country, either. The first visa lasts for up to five years, but the recipient can ask for extensions over and over again. During first entry into America, the investor is given a period of stay of two years. They can ask for an extension when they need one. The length of the original visa depends on America's agreement with the investor's country of origin. A new company will have a shorter duration for its visas.
The government wants to study whether a business is trying to succeed. Some people start fake businesses to buy their way into America. The shorter visa protects the government against such attempts. The other benefit is that family members are eligible for E-2 visas as well. A spouse and any children considered minors can get one. Only the spouse can ask for a renewal, though. Most states consider someone under the age of 21 as a minor. An investor can hire co-workers from their country of origin to work in the United States.
These employees must meet the same criteria for an E-2 visa. The E-2 visa is a nonimmigrant visa. It is temporary. What do deer feed on in winter this reason, it's different from a green card through investment.
Green card status is permanent. An E-2 visa has no official requirement. The applicant must prove they already have a financial stake in a company. They can't apply until they've already invested money into the company. Should the federal government reject the E-2 visa application, the investor cannot enter the United States. They don't lose their investment money, but they can't use it as a reason to live what to expect at a temporary custody hearing America.
The political climate is also a potential risk. The United States government generally protects E-2 visas to make sure United States citizens in other countries don't face similar issues. Still, a change in government leadership could cause ripple effects on E-2 visa acceptance rates. While there is a risk, the E-2 is the safest bet right now. To qualify, the business owner must live in a treaty country. The United States has trade agreements with more than 70 countries.
Anyone from these foreign states can buy an ownership stake in an American business. They can either invest in an existing company or start a new one. The federal government does require the person to make a significant investment in the business. Visas can be awarded for all kinds of businesses, and each of these businesses could require a different level of investment. What is an e2 visa usa government considers the investment amount as the capital required for a new business to become operational.
Some companies will require more purchases to become operational than others. Simply owning undeveloped land and business equipment isn't enough to how to uninstall visual studio 2013. The business must demonstrate operating ability. Also, the applicant should own or lease commercial property where they can operate the business.
The applicant must make all required investments prior to submitting the visa form. Adding funds in a business bank account isn't enough to prove commitment in the operation of the business. The foreign investor has only one choice for a job under the E-2 visa. The holder is only eligible to work for the company that sponsors their application. The most important rule is that the investor must have a hand in running the company. In most cases, the applicant must show that they'll direct the business.
Otherwise, the government will question the need for the person to live in the United States. An investor doesn't have to pay for the entire purchase at once. They have the right to finance some of the cost. A consular officer will decide the amount. Generally, financing 25 to 30 percent what causes broken blood vessels in the eye the purchase price is OK. The percentage amount a buyer can finance increases with the cost of the business.
This type of visa is one of the oldest in America. Its roots go all the way back to a treaty signed at the end of the War of The details have changed over the years, but the premise remains the same. The American government wants to encourage commerce. One of the best ways to do this is by offering strong incentives to foreign investors.
The E-2 visa lets someone come to the United States and run a business. A couple of exceptions are available to applicants. People who can't afford to buy 50 percent of a company can still apply. They need to invest in a business that their international countrymen own. The 50 percent stake still applies. The government allows others from the applicant's country to have controlling interest.
The definition of substantial financial stake varies. Most government officials consider the amount in simple terms. The investor must have assets or money at risk in the business. The applicant also needs to prove they're trying to make a profit. An E-2 holder also has the right to hire employees from their country. These workers must prove they are executives, supervisors, or have highly specialized skills that make them necessary for the job.
Regular skilled and unskilled workers are not eligible. The government expects the applicant to prove their stake is significant. Acceptable transactions are:. Government officials generally reject applications with these forms of proof. The investor isn't doing enough to show significant risk with such transactions.
The E-1 visa is for residents of countries that have substantial trade with the United States. The amount of trade has to justify employment for a large number of people in the United States. Also, it should represent the majority of trade interests. The E-2 visa is for investors who buy at least 50 percent ownership of a United States company. The E-3 visa is exclusively for Australians.
Residents of this country must come to the United States to hold a job in a specialty occupation. To prove qualified, the applicant must hold the equivalent of a bachelor's degree in the field of the specialty occupation.
The E-2 visa is popular due to its affordability. It's only a visa and not a green card, though. Some investors prefer the security of a green card. A person cannot become a permanent resident with an E-2 visa.
They can maintain lawful status as E-2 holders, though. This option can give them time to obtain a green card a different way. Applying for an E-2 visa comes with risk. You must buy an ownership stake before what is an e2 visa usa an application. You'll lose your opportunity to live in the United States if the government denies how to get tan legs application.
The best strategy is to consult with a lawyer to protect your investment. Post your legal need for when emailing what does bcc mean respected but affordable attorney at an online marketplace like UpCounsel.
This professional will improve your odds of earning an E-2 visa.
How to File
Dec 01, · Before entering the United States, treaty traders or investors and Australian specialty occupation workers must apply and receive an E-1, E-2, or E-3 visa from a U.S. consulate or embassy overseas. A U.S. company may also request a change of status to E-1, E-2, or E-3 for a nonimmigrant that is already in the United States. The United States government generally protects E-2 visas to make sure United States citizens in other countries don't face similar issues. Still, a change in government leadership could cause ripple effects on E-2 visa acceptance rates. Legal analysts believe that even under the Trump administration, the E-2 visa is safer than an H-1B or a TN visa. While there is a risk, the E-2 is the safest bet right now. In order to qualify for an E2 Investor Visa, your country of nationality must have an E2 Visa treaty with the USA. Fortunately, many major countries have such a treaty. The countries that have the E2 Visa Treaty in place include Canada, the United Kingdom, Japan, Spain, France, Australia, Mexico, Israel, Ireland, Germany, South Korea, New.
Unfortunately, there is no perfect immigration option for amazing entrepreneurs who come to the US to start innovative companies and create thousands of jobs. As a country, we should find a way to provide startup founders and small business owners a smooth path to a green card. Although a smooth path does not exist, fortunately, we do have the E2 Visa.
This visa allows talented entrepreneurs from certain countries to invest in a US business—and then come to the US to run it. There are a number of benefits that are associated with the E2 Visa.
Here are some of my favorite E2 Visa perks…. Although the E2 Visa is a great option for many, it is not perfect. Some of the drawbacks include:. If you decide that the possible benefits of the E2 Visa outweigh the drawbacks, the next step is to look at the requirements. The following section discusses the E2 Visa requirements in detail. Fortunately, many major countries have such a treaty.
These countries include China, India, Russia and Brazil. Demonstrating that you are a national of an E2 Treaty country is fairly straightforward. You will usually submit a copy of your passport or other identification documents to show that you meet this requirement. There may be other options for you to consider. For example, you may be a seasoned entrepreneur who wants to start a business that will significantly benefit the US.
If you want to make a passive investment in a business enterprise, then the Eb5 Green Card could be an option. By investing in a project through a regional center you could earn a return on your investment and also get a green card. One drawback to the Eb5 program is that there is a high barrier to entry.
One popular option is to obtain citizenship by investment in Grenada. Once you obtain Grenada citizenship, you can then apply for an E2 Visa, since Grenada is a treaty country. It would certainly be my first question. The answer to this common question depends on the business that you are starting. After filing the E2 Visa application, the adjudicator will apply a proportionality test to your investment.
Using this test, they will determine if you have invested enough money to make your particular business a success. The amount that is necessary for success will vary depending on the type of business that you are starting. For example, a service business such as a law firm, a consulting company or a mobile car detailing business will require a smaller investment than a manufacturing plant or a high end restaurant.
While there is no minimum investment amount, the adjudicator will look at the amount that is needed for the business. Next, they will compare that number to investment you have made. To determine if your investment is large enough, they use a sort of inverse sliding scale.
The lower the cost of the business, the higher, proportionately the investment must be in order to be considered substantial. You invest that amount. The investment meets the proportionality test and will be considered substantial. What if a business requires a larger investment? In order to get the business off of the ground you will need a large investment. You will have to secure a location, build out a kitchen, hire a designer, furnish your space, top notch chefs etc.
In addition to investing a sum of money that will make your business success likely, you will also have to commit your money to the business. Instead, you will have to demonstrate that you have spent all of the money that you need to launch a successful business.
For example, if you are starting a home healthcare franchise, you may show that you have…. Therefore, I completely understand why my investor clients want to mitigate their risk. Fortunately, there is one popular method for protecting your money in the event of a visa denial. You can protect yourself by placing part of your investment in escrow. This escrow agreement will contain the sole condition that the money will be released only if the E2 Visa is granted.
Escrow agreements cannot likely be used for every part of your investment. However, they can protect a large portion of it. For example, if you are buying an existing business, you could place the purchase amount into escrow. This amount would likely represent the vast majority of you investment. If your E2 Visa application fails, you will get your money back.
If your E2 Visa application succeeds, the money will be released to the seller. Before you decide on a business in which to invest, you should understand the marginality rule for the E2 Visa in the USA.
This rule requires you to design your business so that it will provide support other US workers. A business that can only provide support for you and your family will be considered marginal and will not qualify for the E2 Visa. If you are starting a new business, you can show that your business is not marginal even if it lacks the current capacity to employ others. This can be accomplished with the help of a well crafted business plan. The US government wants to ensure that your startup money did not come from illegal activities.
Therefore, during the application process you will have to demonstrate the source of your money. Additionally, you will have to show that you have control over the funds that are being used for the business. One issue that occasionally arises relates to money that is held in a jointly owned bank account. If you are using jointly held funds, then you will want to demonstrate that the other person is gifting or loaning whatever interest that they have in the funds to you.
Oftentimes, an E2 Visa investment will be derived from money that is earned over a period of time. Other times, it will come from the sale of a business or property. Sometimes, loans are used for part of the investment. These loans can be secured by the personal assets of the investor. They can also be unsecured. However, they cannot be secured by the assets of the E2 business.
During your application process the adjudicator will examine your business to determine if it is a bona fide operation. Speculative businesses are not permitted. Instead, you must have everything setup. Business licenses must be secured; permits must be obtained; equipment must be purchased etc.
As an E2 Visa Investor, you are required to show that you will be actively directing and developing the business in the USA. For example, you could be involved in overseeing operations. Or, you could carry out the day to day activities of the business. However, you cannot be a passive investor who plays no active role in the business operations. One question that E2 Lawyers oftentimes hear relates to the issue of real estate investment.
People oftentimes want to know if they can obtain an E2 Visa based on the purchase of one or two rental properties. However, one option for a real estate investor may be to set up a real estate management company. If your documentation shows that you are involved or will be involved in directing and developing such a business, your role in the company will be considered active.
E2 Visa lawyers are commonly asked about jointly owned businesses. Such businesses can qualify for the E2 Visa. Additionally, the applicant will need to be able to show that they will have the ability to control the enterprise despite the shared ownership. This is possible as long as you continue to meet all of the the requirements.
Despite this reality, you will have to demonstrate that you plan on departing the USA at the end of your E2 Visa status. This can usually be accomplished by presenting a simple statement that expresses your intention to return to your home country upon the expiration of your authorized period of stay.
Demonstrating that you and your business qualify for the E2 Visa involves gathering and submitting a number of supporting documents. Below, you will find a list of commonly used documents that are used to meet the various requirements…. I simply cannot stress how important your business plan will be to the success of your E2 Visa application.
A good business plan will provide the following details…. While the E2 Visa is commonly used by individual entrepreneurs, it is also used by organizations who want to send their high level employees to the US. In order to qualify as an E2 executive or supervisor, the employee must have ultimate control and responsibility over the business or a major component of it.
The factors that will be evaluated to determine if the employee qualifies include:. E2 Visa applicants usually have two application options. The other option entails filing directly with a US consulate. You would think that all US Consulates would have uniform instructions for filing an E2 Visa application.
Sadly, that is not the case. The instructions vary significantly. Some consulates require applicants to mail the application and the supporting documentation. Others require submission via email.
Some have page limits. Others do not.