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Understanding the E-2 Visa: A Pathway for Foreign Investors to Establish Business in the U.S.

Posted by Keshab R. Seadie | Oct 04, 2024 | 0 Comments

The E-2 visa allows foreign nationals from treaty countries to invest in and manage a U.S. business. While the required investment amount depends on the size and scope of the business or project, it should be substantial and typically exceed $100,000 to meet the visa criteria. It is commonly used by entrepreneurs and business owners who want to start or invest in a business in the U.S. The visa also allows key employees of the investing company, who hold the same nationality, to work in the U.S. for the company.

Who is Eligible for an E-2 Visa?

The E-2 visa is available only to nationals of countries that have an eligible treaty of commerce with the United States. Some countries eligible for the E-2 visa include:

  • Europe: Countries such as Germany, France, Italy, and the United Kingdom
  • Asia: Taiwan, Pakistan, Bangladesh, Singapore
  • Others: Canada, Japan, South Korea, Australia

India and China are not currently eligible for the E-2 visa because they do not have the necessary treaty with the United States. Nationals of these countries would need to explore other visa options for investment purposes.

How to Apply for an E-2 Visa?

     1. Confirm Eligibility:

  • Ensure that your country has a qualifying treaty with the U.S. (e.g., Taiwan, Singapore, Pakistan, Bangladesh are eligible; India and China are not).

     2. Make a Substantial Investment:

  • You must have already invested or be in the process of investing a substantial amount of capital in a bona fide U.S. business. The investment should be sufficient to ensure the successful operation of the business.

     3. Create or Purchase a U.S. Business:

  • You can either start a new business in the U.S. or purchase an existing business. The business must be active and generate a profit. It should not be marginal, meaning it should provide more than just enough income to support you and your family.

     4. Prepare Documents:

        The documentation needed for an E-2 visa includes: 

  • Proof of nationality
  • Evidence of investment (bank statements, wire transfers, purchase agreements, etc.)
  • Business plan demonstrating how the investment will develop the enterprise and create jobs in the U.S.
  • Evidence of the legitimacy of the funds used for the investment
  • Information about the business and its operational details
  • Proof of ownership or control of the U.S. enterprise

     5. File Form DS-160 and DS-156E:

  • Complete and submit Form DS-160, the Nonimmigrant Visa Application form.
  • File Form DS-156E (Treaty Investor Visa Application) to provide details about the business and the investment.

     6. Pay the Visa Fee:

  • Pay the visa application fee, which is currently around $205 (this fee may vary based on the consulate).

     7. Schedule an Interview:

  • Schedule a visa interview at a U.S. Embassy or Consulate in your home country. During the interview, the consular officer will evaluate the validity of your investment and the legitimacy of the business.

     8. Attend the Interview:

  • At the interview, bring all required documentation. The officer will ask questions about your business, investment, and intent in the U.S.

     9. Receive Visa Decision:

  • After the interview, if approved, you will receive the E-2 visa in your passport. If denied, the consulate will inform you of the reasons, and you may be able to reapply after addressing any issues.

Length of Stay and Renewals:
  • E-2 visa holders are usually granted an initial stay of up to two years.
  • The visa can be renewed indefinitely as long as the business remains operational and the investment is sustained.
Can Family Members Come with You?

Yes, your spouse and children (under 21) can join you on E-2 dependent visas. Your spouse can also apply for work authorization in the U.S. during the visa duration.

Since India and China are not treaty countries, citizens of these countries would need to seek other visa options like the EB-5 Immigrant Investor Visa or L-1 Visa which have different requirements but is also investment-based.

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