Two Visas Every Startup Founder Should Know About
Before launching a business in the United States, the first challenge is choosing the best visa strategy to support your goals. When it comes to US Visas for startup founders, several visa options exist, each with its own set of requirements and advantages.
US Visas for Startup Founders
Two visas every startup founder should know about include:
- The O-1A visa for individuals with extraordinary ability in business;
- The E-2 visa for treaty investors.
Additional US visas for startup founders options include: the L-1A visa is a strong option for founders who currently run a business abroad and are looking to expand their operations into the United States. The International Entrepreneurship Rule (IER) allows foreign entrepreneurs to be paroled into the U.S. for up to 5 years. To qualify, applicants must demonstrate that their startup has the potential for rapid growth, job creation, and provides a significant public benefit to the U.S. economy. The B-1 visa for business visitors permits foreign nationals to travel to the U.S. for specific business activities related to establishing a new enterprise. Permissible activities include scouting locations, viewing office space, meeting with bankers to open a U.S. business account, and consulting with attorneys on corporate formation and immigration matters, among others.
The United States is a top destination for ambitious entrepreneurs and visionary founders from around the world. According to the U.S. Small Business Administration, immigrant entrepreneurs make up approximately 18 percent of business owners with employees and nearly 23 percent of business owners without employees (See Small Business Facts: An Overview of Immigrant Business Ownership).
In today’s global economy, welcoming and supporting immigrant entrepreneurs isn’t just the right thing to do – it’s also smart business policy. One of the most effective visa pathways for international entrepreneurs is the E-2 visa for citizens of treaty countries who invest a substantial amount of capital in a U.S. business.
At Principe Immigration Law, we specialize in crafting strategic, streamlined business immigration solutions for investors, start-ups, entrepreneurs, and their families. When it comes to visas for startup founders, in our experience, the E-2 and O-1A visa categories are often the most effective pathways for startup founders seeking to launch and grow their businesses in the United States.
E-2 Visas for Startup Investors
The E-2 visa is a strong option for entrepreneurs seeking to make a significant investment in a U.S. startup.
What are the requirements?
- You must be a national of a treaty country;
- You must have invested or be actively investing, a substantial amount of capital in a bona fide enterprise and your investment may not be marginal;
- You must enter the U.S. to develop and direct the business with at least 50% ownership, or by possessing operational control through a managerial position or other corporate devices.
How long does the visa last?
E-2 visas typically allow an initial stay of up to two years, with extensions granted in two-year increments.There is no limit to the number of extensions, provided the applicant continues to meet the visa requirements. If applying from outside the U.S., you will typically file your E-2 visa application with the U.S. Embassy or Consulate in your home country and register the investment enterprise. Once the consulate registers the investing enterprise for E-2 visa purposes, the treaty investor may obtain a visa to enter the U.S. For UK nationals, for example, the E-2 visa itself is valid for five years; however, each entry to the U.S. permits a stay of up to two years. To extend their stay, E-2 visa holders may either file an extension of status with USCIS or depart the U.S. and reenter using their valid E-2 visa, triggering a new two-year period of admission.
What about your family?
Spouses and unmarried children under the age of 21 may accompany or follow the E-2 investor. Dependents are generally granted the same period of admission. Spouses in valid E-2 or E-2S status are considered employment authorized incident to status, meaning a spouse can lawfully work in the U.S. Children may attend school, but are not authorized to work in the U.S.
What are the benefits of an E-2 Visa?
- No annual cap or lottery
- Flexibility to invest in and operate a wide range of businesses
- E-2 visas can be extended indefinitely as long as requirements are met
O-1A Visas for Extraordinary Ability Entrepreneurs
The O-1A visa is a solid option for individuals with extraordinary ability in business who wish to start or expand a business in the U.S.
What are the requirements?
- You must demonstrate sustained national or international acclaim in your field;
- You must be temporarily coming to the U.S. to work in the area of your extraordinary ability
“Extraordinary ability” in business means you are among the small percentage of professionals who have risen to the very top of your field. You must have received a major internationally recognized award, or at least 3 of the 8 regulatory criteria such as receipt of nationally or internationally recognized awards; membership in an organization that requires outstanding achievements; published materials about the applicant in professional or major trade publications; judgment of the work of others; original scientific or scholarly work of major significance in the field; evidence of authorship of scholarly work; evidence of employment in a critical or essential capacity at an organization with a distinguished reputation; or has commanded or will command a high salary in relation to others in the field.
How long does the visa last?
O-1 visas are typically approved for an initial period of stay of up to three years. Extensions of stay are granted for the amount of time needed to accomplish the business activities or for a period of up to one year.
What about your family?
Spouses and unmarried children under the age of 21 may accompany or follow the O-1 startup founder. They may seek O-3 visas as dependents and are usually granted the same period of admission. They may not work in the United States under this classification, but they may participate in full-time or part-time study.
What are the benefits of an O-1 Visa?
- No annual cap or lottery
- Based on your individual abilities and achievements
- O-1A visas can be extended indefinitely as long as requirements are met
- Provides a pathway to permanent residence (EB-1A)
Why Work with Principe Immigration Law?
Visa solutions for startup founders are one of our core specialties. At Principe Immigration Law, we serve as your trusted advisor and advocate throughout the visa process, from document collection and legal analysis to filing the application and providing visa interview preparation.
We have worked with startup founders from around the globe and understand the unique challenges of:
- Defining and demonstrating visa eligibility
- Aligning visa strategy with your business goals
- Evaluating investment structures and business plans
- Supporting family and personnel immigration needs
Request a Consultation
Ready to explore your U.S. immigration options as a founder or entrepreneur? Contact Principe Immigration Law to schedule a consultation and take the next step toward launching your business in the United States.