Investor Visa
If you possess a substantial amount of capital to invest in a U.S. business, the Investor Visa may be the best option to acquire permanent residence in the quickest period of time. The U.S. Investor Visa program requires an investment of either US$500,000 or US$1,000,000, and the creation of at least 10 jobs for U.S. workers over a two year period. 10,000 visas annually will be made available to qualified immigrants seeking to enter the U.S. for the purpose of engaging in a "new commercial enterprise" that benefits the U.S economy by bringing money into the U.S and providing jobs for U.S workers.
Initially, the investor will be granted Conditional Permanent Residence. If after two years the applicant can establish that they are in compliance with the investment and job creation requirements of the Investor Visa Program they can submit an application to remove conditions on permanent residence. The immigration service will then determine if the applicant has established a commercial enterprise that complies with the investment and employment creation requirements before removing the conditional status. If the condition is not removed, the investor will lose their permanent residence status (green card).
If you do not have US$500,000 or US$1,000,000 to directly invest in business in the U.S, the Investor Visa is not appropriate for you. As an alternative, you should look into the E-2 Treaty Trader Visa that does not require such a large investment.
Requirements for the Investor Visa
The business venture can be either a newly created business, the reorganization of an existing business, or the salvaging of a failing business.
Some factors to be considered are:
- All financing used to purchase the commercial enterprise should be investment capital that is "at risk". In other words, the funds must be committed to the business
- Debt may be used to secure capital provided the foreign investor is personally liable and the debt is not secured against the assets of the new enterprise
- Capital may come from abroad or from within the U.S.
The enterprise must employ at least 10 full-time U.S. workers. Independent contractors do not qualify as employees. In order to qualify under the employment creation category, the new enterprise must be:
- Established by the foreign applicant
- One in which the foreign investor will invest at least US $1 Million (or at least US$500,000.00 if investing in a government approved economic target area)
- One which will benefit the U.S. economy and create full-time employment for not fewer than 10 U.S. workers
- One in which the foreign investor will take a policy making and management role
To qualify, a foreign investor must maintain more than a passive role in the new enterprise. The regulations require the investor to be involved in the day-to-day managerial operations.
The new business enterprise may be created in one of the following ways:
- Creating an original new business not previously in existence
- Purchasing and restructuring an existing business
- Expanding, and thereby substantially changing the net worth or number of employees in a business
- Investing in a financially troubled business, so that there is a forty percent change in net worth or number of employees.
Investment Capital
The definition of capital also includes debt. The investor may include debts as capital provided they are personally liable for the debts and the assets of the enterprise are not used to secure any of the financial debt. Debt secured by the business assets may not be counted toward investment capital. Therefore, the foreign investor cannot receive any bonds or stocks for the capital contributed to the new business.
Not all Investor Visa applicants will be required to invest US $1 Million. If the enterprise is located in an economically weak or rural area, an investment of only US$500,000 is required. Certain government programs designed to offer some investment capital to foreign investors seeking permanent residence may be available. However, not all of these programs have been approved by the USCIS, and therefore caution should be used when participating in such an investment program.
Creating Employment:
An "employee" is defined as an individual who (1) provides services or labor for the new commercial enterprise, and (2) receives wages or other remuneration directly from the new commercial enterprise. Independent contractors will not meet the employee requirements. The investor is permitted to employ their spouse and children in the enterprise, but they do not count toward the 10 employee requirement.
Our firm is experienced in working with foreign investors and we advise consulting with one of our attorneys who can guide you through all aspects of the investor visa requirements and the necessary paperwork to qualify.
Please contact us to start your immigration application now.