All You Need to Know About the E2 VISA

The E2 visa is designed for investors, entrepreneurs, and individuals seeking to operate a business in the United States. This non-immigrant visa allows you to establish a new business or invest in an existing one, with the condition that you invest a significant amount of capital and actively manage the business.

To qualify for the E2 visa, you must invest a substantial amount in a U.S. business and play a direct role in its development. The visa is available only to individuals from specific countries that have an E2 treaty with the United States.

Key points about the E2 visa:

1. Renewal: There is no limit to the number of times the E2 visa can be renewed, provided the business continues to meet the E2 visa requirements.

2. Benefits:

- You can start and work for a business in the United States.

- Your spouse and unmarried children under 21 can also qualify for E2 visas.

- Your spouse can apply for work authorization, and your children can attend school in the United States.

- No set minimum investment amount; even investments as low as $50,000 may qualify.

- No limit to the number of visa extensions; some holders stay for 15 years or longer.

- No requirement to maintain a foreign residence, unlike some other non-immigrant visas.

3. Requirements: To qualify for an E2 visa, you must meet eight main requirements, including being a national of a country with an E2 treaty, having the intent to depart the U.S. once your E2 status ends, making a substantial investment, running an active for-profit business, and others.

4. Nationality Requirement: You must be a national of a country with an E2 treaty. This involves having the nationality of a treaty country, typically determined by your citizenship. Dual nationals can still qualify based on their treaty country, and if a foreign business is making the investment, it must be at least 50% owned by nationals of the treaty country.

The E2 visa provides a flexible and renewable option for individuals looking to invest and actively participate in the development of a business in the United States.

Qualifying Treaty with the United States

The second part of this requirement is that there must be an E2 treaty between the US and the E2 investor’s country of nationality.

Here's a complete list of all the countries that have an E2 treaty with the United States:

• Albania
• Argentina
• Armenia
• Australia
• Austria
• Azerbaijan
• Bahrain
• Bangladesh
• Belgium
• Bolivia
• Bosnia and      Herzegovina
• Bulgaria
• Cameroon
• Canada
• Chile
• Colombia
• Congo      (Brazzaville)
• Congo (Kinshasa)
• Costa Rica
• Croatia
• Czech Republic
• Denmark
• Ecuador
• Egypt
• Estonia
• Ethiopia
• Finland
• France
• Georgia
• Germany
• Grenada
• Honduras
• Ireland
• Israel
• Italy
• Jamaica
• Japan
• Jordan
• Kazakhstan
• Kosovo
• Kyrgyzstan
• Latvia
• Liberia
• Lithuania
• Luxembourg
• Mexico
• Moldova
• Mongolia
• Montenegro
• Morocco
• Netherlands
• New Zealand
• Norway
• Oman
• Pakistan
• Panama
• Paraguay
• Philippines
• Poland
• Romania
• Serbia
• Senegal
• Singapore
• Slovak Republic
• Slovenia
• South Korea
• Spain
• Sri Lanka
• Suriname
• Sweden
• Switzerland
• Taiwan
• Thailand
• Togo
• Trinidad &      Tobago
• Tunisia
• Turkey
• Ukraine
• United Kingdom
• Yugoslavia.
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Here are some major countries that do not have an E2 Treaty with the US:

• Brazil
• China
• India
• Russia
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ii. Intent to Depart the U.S.:

To obtain an E2 visa, you must possess the intention to leave the United States once your E2 status concludes. Unlike other non-immigrant visa categories, demonstrating ties to your home country, such as a foreign residence or career, is not obligatory for an E2 visa. You can fulfill the "intent to depart" requirement by submitting a signed statement affirming your intention to leave the United States after your E2 status expires.

iii. Substantial Investment:

To qualify for an E2 visa, a substantial investment in a U.S. company is required. The regulations do not stipulate a minimum investment amount, relying instead on a proportionality test. This test compares the actual investment to the total value of the business. There are no specific percentages, but for businesses with lower values, a high percentage of investment is necessary, while for higher-value businesses, a lower percentage may be sufficient. As a rule of thumb, investing at least $100,000 is advisable, though lower amounts, including $50,000, have qualified for E2 visas.

iv. Active, For-Profit Business:

The E2 business must be an active, for-profit enterprise engaged in entrepreneurial activities. Passive investments, such as residential real estate or stock market investments, do not meet the criteria.

v. Non-Marginal Enterprise:

The E2 business invested in must not be considered a marginal enterprise. A marginal enterprise lacks the present or future capacity to generate sufficient income for the E2 investor and their family. Proving that the business can either provide a minimal living or make a significant economic contribution, such as employing multiple workers, establishes its non-marginal status.

vi. Directing and Developing the E2 Business:

E2 investors must enter the United States with the purpose of directing and developing the E2 business. Ownership of at least 50% or operational control is required. Passive investors are ineligible, and foreign business entities must demonstrate they are directing and developing the E2 business.

vii. Lawful Source of Investment Funds:

The source of your investment funds must be lawful, including earnings from employment, property sales, gifts, inheritance, or loan proceeds secured by personal assets (unsecured loans qualify, while loans secured by E2 business assets do not).

viii. Irrevocably Committed and At-Risk Investment:

Your investment must be irrevocably committed to the E2 business and at risk. This means the funds must be spent on the business, subject to partial or total loss. Investment funds must be invested or in the process of being invested at the time of filing, with a genuine commitment to commencing business activities. Intent to invest without a present commitment is insufficient. Holding funds in a business operating account can contribute to meeting the irrevocability standard, and placing funds in an escrow account conditional on visa approval is also an option.

5. Differences Between Change of Status to E2 and E2 Visa Application:

Before deciding between a Change of Status and consular processing, consult with an immigration attorney. Key considerations include:

- Lawful Presence: Change of Status is for those lawfully present in the US; it is not available for individuals abroad.

- Processing Speed: Change of Status can be expedited through Premium Processing (as fast as 15 days), while consular processing may take longer.

- Travel Requirements: Changing status means losing status upon leaving the U.S., requiring an E2 visa for re-entry.

- Investment Amount: Consular posts may require a higher investment; changing status allows business growth before applying for an E2 visa.

6. E2 Visa Processing Time:

The E2 visa process involves three stages:

- Document Gathering: Approximately one month, subject to individual circumstances.

- Legal Preparation: Around two weeks for your immigration attorney to prepare and file the E2 petition.

- Consular Processing/Change of Status: Consular processing takes 2-3 months, while change of status through USCIS takes 2-3 months (15 days with Premium Processing, additional time for a Request for Evidence).

Note: USCIS's 15-day response time with Premium Processing does not apply after responding to a Request for Evidence.

7. Duration of Stay on E2 Visa:

The validity of an E2 visa (1 to 5 years) doesn't dictate continuous stay. Upon entry, you receive 2 years of status. Exiting and re-entering with a valid visa grants an additional 2 years. Visa renewal is unlimited as long as the business meets E2 requirements.

8. Benefits for Family Members on E2 Visa:

- Spouse and unmarried children under 21 can qualify for E2 visas.

- Spouse can apply for a work permit, and children can attend school but are ineligible to work.

9. E2 Visa for Employees:

- Noncitizens working for an E2 business can qualify for an E2 visa under three categories: Executive Employees, Supervisory Employees, and Employees with Special Skills essential to the E2 Enterprise.

10. Transitioning from E2 Visa to Green Card:

- E2 visa is temporary and does not directly lead to a green card.

- Options for obtaining a green card include the EB-5 visa (investment-based), family-based sponsorship, spousal sponsorship, employment-based sponsorship, EB-1A for extraordinary ability, and EB-2 National Interest Waiver.

This guide covers essential aspects of the E2 visa, including requirements and benefits. For clarification or assistance, CONTACT US