In this video attorney Jacob Sapochnick discusses a frequently asked question regarding the E-2 Investor Visa: Are loans or gifts a legitimate source of funds for the E-2 visa?
In order to get an E-2 visa as an investor in the United States, you must demonstrate that you will make a substantial investment in a new business enterprise or an existing business. As part of the application process, you must show the origin of the source of funds for that investment, and the source of those funds must be legitimate. Not all sources of funds will qualify for the E-2 visa. Many of our clients ask whether a gift of funds or a foreign bank loan will qualify as a legitimate source of funding for the E-2 visa.
Are gifts a legitimate source of funds for the E-2 visa?
Yes, provided the investor has possession of the funds, and the funds are irrevocably committed to the investor by the giver of the gift. The person that has given the gift to the investor must provide documentation showing the source of those funds to prove that the funds came from a legitimate source.
In this video attorney Jacob Sapochnick talks visa options for entrepreneurs.
In this video we cover four visa options that allow foreign entrepreneurs to live and work in the United States. These visa options also allow the foreign entrepreneur to bring his or her dependents to live with them in the United States.
Option #1 L-1 Visa for Executives, Managers, and Essential Employees:
There are two types of visas available under the L-1 category: 1) L-1A Intracompany Transferee Executive or Manager and 2) L-1B Intracompany Transferee Specialized Knowledge.
The L-1A category is a non-immigrant visa classification for aliens seeking to work in the United States in an executive or managerial capacity on an assignment of a temporary nature for a U.S. subsidiary or parent company of their foreign employer.
The L-1A visa classification allows a foreign company to transfer an executive or manager to the U.S. subsidiary or parent company. If an affiliated U.S. subsidiary or parent company does not yet exist, the L-1A classification allows the foreign company to send the executive or manager to the United States for the purpose of establishing the affiliated subsidiary or parent company.
L-1B: If the alien is not employed in an executive or managerial capacity, the L-1B visa classification comes into play. To be eligible for the L-1B visa, the petitioner must demonstrate that although the alien is not employed in an executive or managerial capacity with the company, the alien possesses specialized knowledge and can represent the organization’s interests in the United States.
Both the L-1A and L-1B require the beneficiary to have worked abroad for the foreign employer for at least one year within the proceeding three years.
Pro: the L-1 visa leads to a green card
Option #2 E-2 Investor Visa:
The E-2 treaty investor visa is a non-immigrant visa that allows foreign entrepreneurs from treaty nations to enter the United States and carry out investment and trade activities. Investment activities include the creation of a new business in the United States or investment in an existing enterprise. The investment must be significantly proportional to the total investment, that is, usually more than half the total value of the enterprise or, if a new business, an amount normally considered necessary to establish the business.
The E-2 treaty investor visa is a non-immigrant visa that allows foreign entrepreneurs from treaty nations to enter the United States and carry out investment and trade activities, for a specified period of two years subject to renewal. Investment activities include the creation of a new business. Foreign nationals must invest a substantial amount of capital in a new or existing business. The investment must be significantly proportional to the total investment, that is, usually more than half the total value of the enterprise or, if a new business, an amount normally considered necessary to establish the business.
Who can get it?
Only foreign nationals from treaty nations may apply for the E-2 visa. To find out if your country qualifies, click here.
Level of Investment
Therefore, the level of investment must be such that it is sufficient to justify presence of the treaty national in the United States. The investment must be in an operating business e.g. a speculative investment in undeveloped land would not qualify, whereas an investment in a real estate development project probably would. Also, a substantial part of the investment must have been made prior to applying for E-2 status.
In this video, attorney Jacob Sapochnick speaks with personal injury attorney Mitch Jackson and gives viewers insights on how to secure a job in the United States as a foreign worker, how to penetrate the market, and stand out from the crowd.
Begin researching the different employment visa types to determine which visa is right for you depending on your level of education, skill, and the field that you want to work in. For example if you are a software engineer the H-1B visa will be a good option for you, if you want to start your own business an E-2 visa may be right for you. Once you have done some preliminary research, reach out to an immigration attorney to discuss the pros and cons of different visas that may be available to you
Understand the requirements for the visa you would like to obtain so that you can explain the process to a potential employer
Attend as many networking events as possible in your particular industry, if possible in the United States
Use social media to reach out to potential employers
Show employers how you can build value for their business
Carefully tailor your resume/build a website to show employers your credentials
For more tips please keep watching.
To purchase Jacob’s book My American Job please click here.
The Treaty Investor Visa (nonimmigrant E-2 classification) is intended for nationals of a foreign country with which a qualifying Treaty of friendship, commerce, navigation, or a similar agreement exists with the United States.
Nationals (individuals or companies) of countries with such Treaties with the United States can obtain visas to work in the USA in order to develop and direct their investment with the USA. E-2 visa is for individuals coming to the U.S. to invest a substantial amount of capital or to direct and develop the business operations of an entity in which the individual has already invested funds.
Do Franchises qualify for E2 Investor Visa?
Yes, most franchises will be a good fit for this type of visa, however not all franchises will qualify. For example, in order for the application to be successful, the investor must assume an active role in the management of the franchise business. If your franchise meets this requirement, then it is possible for your franchise to qualify for the E-2 visa.
Secondly, the franchise must create jobs for U.S. workers. The investor must hire U.S. staff and employees to fill various roles within the franchise. The investor must also hire management staff with the appropriate experience to fill certain key positions in the business.The investor must also ensure that he is involved in some sort of decision making role within the franchise business’s organizational structure.
Third, the amount of money that is required to secure the franchise must be reasonable in order to obtain the E-2 visa. Franchises that require $50,000 or less will likely not satisfy the investment requirements of the E-2 visa. Franchises that require $100,000 or more are more likely to be successful in satisfying such requirements.
Does the investor Need to Buy the Business Before applying for an E-2 Investor Visa?
Establishing a business in the United States is regarded as a key requirement for buyers that are applying for an E-2 visa.
The best course of action is to place the monies that will be used to purchase the business in an escrow account in the United States. In the visa application it is possible to state that the purchase of the business is contingent on the approval of the E-2 Visa and will be finalized once the approval is obtained. It is also important to get all the documents from the Franchise processed, so that a full package can be presented to the US Immigration when filing for the visa application.
In this video, our clients speak about their unique experience with the Law Offices of Jacob J. Sapochnick. Our law office specializes exclusively in immigration and nationality law. We work with a broad range of clientele including entrepreneurs, investors, business visitors, foreign workers, U.S. employers, asylees, students, athletes, performers, families seeking to immigrate their family members and much more. Throughout the years, we have established a proven track record of success and a high level of customer service that is unparalleled in the legal industry. Contact our office today to schedule your free first time consultation.
In this video Attorney Jacob J. Sapochnick takes you on a tour of our law office located at 1502 Sixth Avenue in sunny San Diego, California on the corner of Beech Street and Sixth Avenue. Come and visit us today. We offer free first time consultations to meet your immigration needs.
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In this video attorney Jacob Sapochnick discusses the E-2 visa option for franchisees with Sheila Purim the co-founder of Franchise Wizard, a consulting service that helps entrepreneurs connect with franchisors.
The E-2 treaty investor visa is a non-immigrant visa that allows foreign entrepreneurs from treaty nations to enter the United States and carry out investment and trade activities. Investment activities include the creation of a new business or investment to purchase a business. The E-2 visa is only available to foreign nationals from a country that has a qualifying treaty of friendship, commerce, navigation, or a similar agreement exists with the United States. One way to qualify for the E-2 visa is to invest in an existing franchise in the United States. The franchisee is given authorization by a company or business owner to carry out commercial activities and operate a business based on the company’s business model.
It is our pleasure to introduce our readers to our senior case manager, Inese Grate, one of the original members of the Law Offices of Jacob J. Sapochnick. Ms. Grate joined our firm when there were merely 2 employees working at the office. In addition to studying law in Latvia, Ms. Grate received her Master’s in Law in International Business Transactions from Temple University Beasley School of Law and attended the International Law Institute at Georgetown University School of Law.
Ms. Grate specializes in business and family immigration, corporate, international trade, and international transactions. Ms. Grate provides consultation on strategic investment in the United States for international clients and corporations to identify potential opportunities, create jobs, and develop successful businesses. Throughout her professional career, she has taken several international and U.S. startup companies from an ideation phase through to establishment and registration.
Ms. Grate is unique in that she thinks outside of the box. She utilizes her professional network of financial advisors, real estate brokers, investors and industry experts to assist our clients according to their individual needs. Throughout her career, Ms. Grate has helped numerous corporations and individuals in the United States as well as several European countries in various immigration/business related issues. Ms. Grate evaluates business plans and works on all related immigration issues including visas, licenses, and permits.
In this segment Attorney Jacob J. Sapochnick Esq. discusses a new proposed rule referred to as the International Entrepreneur Rule. This new rule is expected to make it easier for certain foreign entrepreneurs to receive temporary permission to enter the United States, also known as ‘parole,’ for the purpose of starting or scaling their start-up business enterprise in the United States. For more information please keep watching.
Under this new rule, DHS would have discretionary authority to grant parole to eligible entrepreneurs of start-up companies who can demonstrate the following:
At least a 15 percent ownership interest in the startup enterprise in question;
That they take on an active and central role in the startup enterprise’s operations;
That the startup enterprise has been formed in the United States within the past three years; and
That the startup enterprise has proven to yield a substantial and demonstrated potential for rapid business growth and job creation as evidenced by:
Having received a significant investment of capital of at least $345,000 from certain qualified U.S. investors that have a proven track record of success i.e. showing established records of successful investments;
Having received significant awards or grants of at least $100,000 from federal, state, or local government entities; or
By partially satisfying one or both of the above criteria, in addition to presenting other reliable and compelling evidence to show the startup entity’s substantial potential for rapid growth and job creation in the United States.