5 Surprising Facts About E-2 Visas

An E-2 visa allows individuals from a treaty country with adequate capital to come to the U.S. and invest in U.S.-based businesses. Individuals that are employed by an eligible organization can also receive E-2 visas at times.

While resident and citizen classifications can be difficult to secure depending on circumstances, the E-2 visa process makes it a bit easier for those with an entrepreneurial spirit. Here are five surprising facts about the E-2 visa.

An E-2 visa allows investors or employees to bring their spouses and any unmarried children who are less than 21 years old along.

“Their nationalities need not be the same as the treaty investor or employee,” U.S. Citizenship and Immigration Services says. “Spouses and children may seek E-2 nonimmigrant classification as dependent and, if approved, generally will be granted the same period of stay as the employee.”

In the case that a family member is not granted the same period of stay as the investor or employee, or if any member of the family plans to travel abroad, they should take careful note of readmission policies and their individual period of stay.

Technically, the E-2 visa is a “nonimmigrant” classification, indicating that the recipient does not have the intent to live and work in the U.S. long-term. As such, the visa does not provide a direct path to citizenship or a green card.

However, there are workarounds of sorts, that allow recipients to work to maintain their status beyond the initial stay granted.

Generally speaking, the initial stay granted will be, at most, two years long. However, this does not necessarily mean that the investor or their family will have to leave the country at the end of their initial stay.

It is possible to request an extension or change of status. E-2 status extensions can be granted in increments of up to two years, and there is no limit to the number of extensions a recipient can request or receive, but USCIS does say that “all E-2 nonimmigrants must maintain an intention to depart the United States when their status expires or is terminated.”

Individuals must “have invested, or be actively in the process of investing, a substantial amount of capital in a bona fide enterprise in the United States.”

There is no hard line or “cutoff” for the amount a person must invest. The investment must be big enough that a successful business could reasonably be built, meaning the amount cannot be too small, but many say that this requirement is still lower than the amount required for other avenues.

The primary requirement is that the business is not a “marginal enterprise.” This is a business that does not currently, and likely never will, have the ability to support the needs of the investor and their family.

It is important to note that all new businesses are not necessarily classified as marginal enterprises. If a recipient is investing in a new business, they should have proof that the business has the ability to create adequate income for the investor and their family, if applicable, “within five years from the date that the treaty investor’s E-2 classification begins.”

Franchises are a popular option for E-2 investors as their business plans have been proven, and a history of operations can demonstrate the concept’s ability to grow into an adequate source of income.