Foreign nationals trying to immigrate to the U.S., hoping to invest in a business opportunity, or to establish a new business or a branch of an existing business in the U.S. face a daunting process that starts with deciding which business visa is right for their situation – and for which they qualify!
The different types of business visas and plans serve different purposes – that much is obvious. But what are those purposes and in which situations are they applicable? Here are a few facts to help you understand the basics of business visas.
L-1 Visas (Intra-company Transfer, non-immigrant)
An L-1 visa is a non-immigrant visa which allows companies operating in both the U.S. and abroad to temporarily transfer certain classes of employees (managerial, executive or specialized knowledge) to the U.S. to continue employment with the same company or an affiliated company. This is essentially an intra-company transfer. An L-1 visa is particularly helpful when working with non-Treaty Countries, as that is not a requirement.
Additionally:
- Certain common ownership criteria must be met (ownership of the U.S. and foreign entities must be substantially similar)
- The employee must have been employed for one continuous year within the immediately preceding three years
- The visa is initially issued to the beneficiary for a period of one year for “New Office” or start-up businesses, and for three years for businesses already operational for at least one year
- Visas are renewable in 2-year increments for a maximum of up to seven years
One significant advantage to an L-1 visa is that it can serve as a path to a Green Card if certain conditions are met!
E-2 Business Plans (Treaty Investor, non-immigrant)
This non-immigrant option is for foreign investors interested in buying an existing U.S. business or in starting a new one, but not necessarily interested in a Green Card. It also differs from the L-1 visa in that the foreign investor must be a national of a Treaty Country (a country that has a current Treaty of Commerce and Navigation or Bilateral Investment with the U.S.).
- The investor must develop and direct the business enterprise with at least 50% ownership or possession of operational control through a managerial position
- Certain employees of the investor may also be eligible
- This visa can be renewed roughly once every five years or so (depending on visa reciprocity), for an unlimited number of times, with the stipulation that the holder continues to satisfy the visa requirement
One disadvantage of an E-2 is that it cannot serve as a direct path to a Green Card!
EB-5 (Immigrant Investor Option)
This program sets immigrant investors on an immediate and direct path to permanent residency via one of two options:
- A direct investment (minimum of $1 million in any area or $500,000 in a Targeted Employment Area or TEA) in a new or existing business, including franchise opportunities, in any U.S. state or territory.
- The investor must meet the investment requirements AND
- The new business must create at least 10 new jobs
OR
- Investment into a Regional Center development project anywhere in the U.S. ($500,000 or $1 million, depending on whether or not the project area is in a TEA).
A Comprehensive Business Plan is mandatory regardless of whether the investment is direct or through a Regional Center. The Business Plan must be “credible” and should include:
- Business Description
- Business Structure
- Marketing Plan
- Personnel Experience
- Competitive Analysis
- Required Licenses & Permits
- Staffing Timetable for Hiring
- Job Descriptions
- Budget & Financial Projections
Keeping in mind the above is just a brief overview, the fact that this process is so intimidating to laypeople is not surprising at all. Our team of experts, however, knows every aspect inside and out. Walking hopeful immigrants and foreign investors through these processes from beginning to end is our sweet spot! Don’t let the unknown keep you from your dream. Send us an email and let’s get started – WE’VE GOT THIS! Email us at info@ecouncilinc.com
e-Council Inc.’s website, newsletter and other forms of communication contain general information about legal matters. The information is not legal advice and should not be treated as such. You must not rely on the information on this website as an alternative to legal advice from an attorney or other professional legal services provider. For specific questions about any legal matter please consult with an attorney or other professional services provider.