What are the Investment Visa options...
Opportunities in the US are abundant for business investors. As the world’s largest economy, the US presents a relatively safe and secure environment for your investment and can successfully support a myriad of industries and niches. Business investors who are also looking to reside in the US under temporary or permanent status have several investment visa options, namely the EB-5 visa, E2 visa, or the E1 visa.
What are the differences...
For investment immigration in the USA, the EB-5 program stands out as the top choice for many. To be sure, EB-5 is the only investment visa category that provides a US green card by investment. EB5 investors may choose to invest directly into a new enterprise to take an active role in the business, or through a USCIS accredited EB5 regional center.
For both types, the minimum investment amount is $1.8 million unless the project is located in a targeted employment area, in which case the minimum investment is $900,000. In all cases, 10 full-time US jobs must be created as a direct (in the case of the direct investment) or indirect (for regional center projects) impact of the investment.
If a permanent visa is not a top priority, the temporary E-2 visa can provide many investors with an option to gain entry and do business in the US with a smaller investment. One of the primary E2 visa requirements is for the applicant to be a national of one of the E-2 treaty countries. In contrast to the EB-5 visa which has clear set minimum investment amounts, the E-2 requires a “substantial investment” of capital into a US business.
This amount can vary depending on the industry and niche of your business and should be enough to provide the business with good chances of success. The E2 visa makes provisions for immediate family members to reside in the US and is renewable indefinitely.
Like the E-2, the E1 visa provides members of treaty countries with an alternative to the more expensive EB-5 program. In this case, the provision is for international traders, and is more accurately a treaty trader visa rather than an investment visa. The E1 visa requirements do not include any formal investment. Instead, it is focused on seeing that the US economy benefits through “substantial trade” between the US and its treaty trader countries. For an applicant of the E-1 treaty trader visa, this means that they must engage in frequent and high-volume international trade with the US. It should also be noted that the list of treaty trader countries varies slightly from the list of E-2 treaty countries.
Things to Consider When Choosing a US Investment Visa...
Pros & Cons of Investment Visa Types
With a basic understanding of each of the investment immigration paths mentioned above, we can begin to consider in further detail some of the pros and cons of each visa type. Keep in mind that what may be a “con” to some may actually be beneficial to others (and vice versa), so it’s a good idea to leave room for flexibility when considering your options.
Pros
- Provides a direct path to US green card by investment
- May invest directly or through an EB5 regional center, providing the option to actively participate in business operations or remain more hands-off in its management
- No treaty nation requirements
- The EB5 investors’ spouses and children may petition together to obtain their green cards
Cons
- High minimum investment amount at $1.8 million (or $900,000 for projects in a targeted employment area)
- Must demonstrate that the investment created 10 US jobs and remained at risk during the entire EB-5process
- Lengthy retrogression delays for nationals of certain countries including China, India, and Vietnam
Pros
- More flexible and generally smaller investment amounts
- E-2 visa lasting up to five years for nationals of some treaty countries, with indefinite renewals
- Immediate family may also live in the US
- Spouse of investor is eligible to work or do business in the US
Cons
- No direct path for green card through investment
- Must remain in compliance with E2 visa requirements throughout residence in the US
- Length of visa may be as little as 6 months, and visa must be renewed with each expiration
- Must be a national of an E2 treaty country
Pros
- No formal investment requirement
- E-1 visa lasting up to five years for nationals of some treaty countries, with indefinite renewals
- Immediate family may also live in the US
- Spouse of investor is eligible to work or do business in the US
Cons
- No direct path for green card through investment
- Must remain in compliance with E1 visa requirements throughout residence in the US
- Length of the E-1 visa may be as little as 6 months, and visa must be renewed with each expiration
- Must be a national of an E-1 treaty country
Existing Foreign Businesses may want to consider...
L1 Visa, which has a corresponding permanent residence category
Though not strictly a category within investment immigration, the L1 visa provides entrepreneurs who own an existing foreign business with the opportunity for expansion into the US, along with potential investment into that expansion. Through L1, foreign business owners may transfer themselves or their qualifying employees to an existing or new US office under temporary visa status. A corresponding permanent visa, the EB1C, is also available for businesses which have operated in the US for at least one full year, allowing L1 holders to transition to permanent residency.