What Is The E-2 Investor Visa? How Can It Be Obtained?
Index
The E-2 Investor Visa presents a significant opportunity for businesspeople and entrepreneurs planning to invest in the United States. This visa is granted based on bilateral agreements between the U.S. and the investor’s home country. Investors can apply for this visa by either starting a business in the U.S. or investing capital in an existing business. This article will discuss the details of the E-2 visa, the differences between E-1 and E-2 visas, and frequently asked questions.
What Is The E-2 Visa?
The E-2 visa is designed for foreign investors who make a substantial capital investment in a U.S. business or enterprise. This visa permits investors to establish, manage, and grow their businesses within the United States.
Eligibility for the E-2 visa is limited to citizens of countries that maintain bilateral investment treaties with the U.S. To qualify, applicants must demonstrate that they are committing sufficient capital to ensure the sustainability and success of their business operations.
For a complete list of eligible treaty countries, you can refer to the updated list provided by the U.S. Department of State. Understanding the requirements and benefits of the E-2 visa can help investors make informed decisions about their business ventures in the United States.
What Is The Difference Between E-2 Visa And E-2 Status?
The E-2 visa can be obtained through the U.S. Consulate in the investor’s home country, while E-2 status can be applied for within the U.S. through USCIS.
The E-2 visa is typically granted for 5 years through the U.S. Consulate, whereas E-2 status is granted for 2 years by the USCIS.
The E-2 visa grants travel rights, while E-2 status obtained within the U.S. is only valid within the U.S. E-2 status provides the right to work and live but does not grant the right to leave and re-enter the U.S. To have travel rights, you must obtain a visa from the consulate.
The minimum investment amount required by the U.S. Consulate and USCIS may differ. It is recommended to consult an immigration attorney to evaluate the minimum investment amount based on where you are applying and the nature of your business.
The documents required for the application may vary between the U.S. Consulate and USCIS.
Features of the E-2 Visa:
Investment Amount: The required investment amount for the E-2 visa can vary depending on the nature and size of the business. The investor's capital must be sufficient to establish and manage the business successfully. Lower investments may be acceptable for smaller-scale businesses, while larger businesses may require higher capital. The adequacy of the investment amount is carefully reviewed by USCIS and the U.S. Consulate.
Proving the Source of Investment: Besides proving the adequacy of the investment amount, it is also crucial to demonstrate the source of the investment funds, such as the sale of your home, company, or vehicle. Additionally, any documentation regarding the transfer of funds from your bank account in your home country to your business account in the U.S. must also be provided.
Visa Duration: E-2 status is typically granted for 2 years by USCIS, while the E-2 visa is generally granted for 5 years by the U.S. Consulate. Investors can extend their visa duration as their business develops. When applying for a visa renewal, it is important to comply with the growth targets outlined in the Business Plan submitted with the initial application.
Family Members: With an E-2 visa, the investor can bring their spouse and children under 21 to the U.S. The spouse can obtain a work permit and work in any job in the U.S. Children can attend school in the U.S. and benefit from the visa until they turn 21. Spouses obtain the right to work directly if they receive a visa from the consulate or an approval notice if applying through the USCIS. No separate application for a work permit (EAD) is required.
Requirements For The E-2 Visa
To apply for the E-2 visa, specific criteria must be met. These criteria are crucial for the acceptance and approval of the application. It is recommended that investors carefully review and prepare these requirements before starting the application process. Here are the main criteria required for the E-2 visa:
Citizenship Requirement: The individual applying for the E-2 visa (whether the investor or an employee) must be a citizen of a country that has an investment treaty with the United States. This treaty must be between the U.S. and the country of which the applicant is a citizen. This citizenship requirement is considered at the initial stage of the application.
Investment: The investment made for the E-2 visa should be made continuously and should include enough capital to ensure the success of the business. Even a small-scale investment can be acceptable. The investment must be at risk and used for a commercial activity. Passive investments, such as simply putting money into a venture, are not sufficient for the E-2 visa. An example of a passive investment would be buying a home.
The USCIS and U.S. Consulates have different criteria for the investment amount. It is advisable to consult an immigration attorney to evaluate the minimum investment amount based on where you are applying from and the nature of your business.
Partnership and Management: The E-2 visa applicant may be a shareholder of at least 50% of the company's shares, an executive, a manager, a supervisor, or an essential employee of the company.
Control and Direction: An E-2 visa holder must have authority over the management and control of the business. This means the investor must be actively involved in the daily operations of the business. The investor should play a significant role in the decision-making processes and guide the growth of the business. This criterion emphasizes that the investor should not be a passive partner.
Active Business: The investment must be in an active commercial enterprise; simply depositing money into a bank account or purchasing property is not sufficient. The business must operate and make an economic contribution. The investor must manage the operational process of the business and ensure that it is actively functioning. Additionally, the business plan must be submitted by the investor.
Employment of Workers: The business is expected to have the capacity to provide job opportunities for U.S. citizens. This is an important criterion for the growth of the business and its contribution to the U.S. economy. Employing workers supports the sustainability and economic activities of the business.
Differences Between The E-2 And E-1 Visas
E-2 and E-1 visas offer significant immigration options for foreign investors and businesspeople. However, there are differences between these two visas. Here are the main differences between the E-1 and E-2 visas:
- Investment vs. Trade:
E-2 visa: For investors who are planning to make a significant capital investment in the US. The key factors are the amount of investment and viability of the business.
E-1 visa: Designed for individuals who engage in substantial trade between the US and applicant’s country. This trade may be in the form of goods, services, technology or other products.
Earnings:
E-2 Visa: The business must generate sufficient income to support the investor and their family, rather than merely covering basic living expenses.
E-1 Visa: For E-1 visas, the focus is on the value and frequency of trade rather than the financial success of the business.
Application Process Of the E-2 Visa/Status
The E-2 visa application process is complex and detailed. To complete this process, the following steps should be carefully considered:
Planning the Investment
Before starting the E-2 visa application, a detailed plan for the investment should be prepared. This plan should outline how the investment will be made, the sustainability of the business, and its growth potential. Additionally, it should specify how the investment will contribute to the U.S. economy. Investors should consult an immigration attorney at this stage.
Preparation of the Application File
Preparing the application file is a critical step in the E-2 visa/status process. The file should include evidence of the investment, documents showing that the invested funds were obtained legally, a business plan detailing how the company will operate in the U.S., growth strategies, and goals, as well as documents showing the applicant's educational background and/or work experience. Additionally, documents demonstrating that the investor will play an active role in managing the business should be included. The file must be meticulously prepared.
Consulate Interview
If you are applying for an E-2 visa through the U.S. consulate in your home country, an interview at the consulate will be required. USCIS, on the other hand, reviews E-2 status petitions based on the submitted file.
The application for an E-2 visa is completed through an interview at the relevant U.S. consulate. During the interview, the investor will need to explain details of the business, and objectives in the U.S. The consulate official must be convinced of the sustainability of the business. The interview is a critical stage in the approval of the visa application.
Obtaining the Visa/Status
After the visa is approved, the investor can enter the U.S. and start working in the established business. Similarly, after the E-2 status is approved within the U.S., the investor can begin working for the business. If the investor maintains the success of the business, they can renew the visa period.
Frequently Asked Questions (FAQ’s)
There are many questions about the E-2 visa. Here are the most frequently asked questions and their answers:
How Much is the Investment Amount Required for the E-2 Visa?
The required investment amount for an E-2 visa varies depending on the size and type of the business. The investment must be 'substantial' and sufficient for the sustainability of the business. While smaller-scale businesses may accept lower investments, larger-scale businesses require higher capital. In any case, the investment amount should be adequate for the success of the business. Generally, for USCIS applications, a minimum investment of $50,000 may be sufficient, whereas for U.S. Consulate applications, a minimum investment of $100,000 may increase your chances of approval. It is advisable to consult an immigration attorney to evaluate the minimum investment amount based on the nature of your business.
Is it Possible to Purchase a Business in the U.S. with an E-2 Visa?
Yes, it is possible to obtain an E-2 visa by purchasing an existing business in the U.S. However, the purchased business must be actively operating, and the investor must be involved in managing the business. The sustainability and growth potential of the business will be evaluated during the visa application process. Additionally, it is expected that the business will provide employment.
Can Family Members Come to the U.S. with an E-2 Visa?
Yes, the investor's spouse and children under the age of 21 can come to the U.S. with an E-2 visa. The E-2 visa gives a work permit, allowing the spouse to work in any job in the U.S. The children can receive an education in the U.S. Family members can benefit from the visa as long as the investor's temporary stay in the U.S. continues.
How Long is the E-2 Visa Valid For?
E-2 status is typically granted for 2 years by the USCIS. While the E-2 visa is generally granted for 5 years by the U.S. Consulate. Investors can extend their visa duration as their business develops. When applying for a visa renewal, it is important to comply with the growth targets outlined in the Business Plan submitted with the initial application.
What Are the Required Documents for the E-2 Visa?
An E-2 visa application generally requires a business plan, proof of investment, documents showing the viability of the business, and documents proving the applicant's work experience. Additionally, documents demonstrating that the investor will play an active role in the management of the business must be submitted. The application file should be carefully prepared to meet all requirements.
How is the Consular Interview for the E-2 Visa?
The E-2 visa application is completed with an interview at a U.S. consulate. During the interview, the investor must explain the details of the investment, the business plan, and their objectives in the U.S. The consular officer must be convinced of the business’s sustainability. The interview is a crucial step in the approval of the visa application.
What Does It Mean for the Investment to Be Active for the E-2 Visa?
An active investment means that the business is genuinely operational and contributing economically. The investor must play an active role in managing the business, and the business must operate sustainably. Passive investments, such as merely investing money, do not meet this criterion. The business must be operationally active.
Can You Hire Employees with an E-2 Visa?
Yes, the business under an E-2 visa should have the capacity to provide employment opportunities. Hiring employees is important for the growth of the business and its contribution to the U.S. economy. The business should employ enough employees and ensure its development. Hiring employees is essential for the successful operation of the investment.
Advantages Of Working With Gozel Law Firm
Since E-2 applications require a lot of documents, they can be complex, and it is crucial to take every step correctly throughout the process. During the visa preparation process, we assess the status of your company and provide you with a list of the necessary documents, accordingly, carefully guiding you through the document collection process.
The requirements for obtaining an E-2 visa can differ between USCIS and the U.S. consulate. Based on our extensive experience, we provide valuable insights into the necessary criteria for both entities. For instance, we offer guidance on key topics, such as the appropriate investment amount and the level of detail required in explaining the source of your investment.
To ensure a smooth application process, we highly recommend contacting us before initiating activities like establishing or purchasing a business and making investments. Our expert guidance will help you navigate the complexities of the E-2 visa requirements, ensuring you meet all necessary criteria for a successful application.
At Gozel Law, we are here to assist you with our expertise in immigration law and high success rate. We handle each application with care, helping you and your family make a new start in America. With our reliable and experienced team, we ensure that you navigate this process as smoothly as possible.
