E-2 Visa requirements are expectations that potential E-2 investors must meet to qualify for the visa. The E-2 is a non-immigrant visa that enables people from roughly 80 treaty countries to enter the United States by investing and operating a US business.
The treaty countries are those that have treaties of navigation and commerce, maintain an eligible international agreement with, or are deemed as a qualifying country by the legislation.
The E2 treaty investor visa does not offer a Green Card to the applicants, as it is a non-immigrant visa. However, you can extend the visa indefinitely as long as the business you invested in is active and viable.
In this article, we shall discuss the various E-2 Visa requirements in detail.
E-2 Visa Requirements – Key Takeaways
E-2 Visa Requirements at a Glance
| Requirement | The test, in plain terms |
|---|---|
| Treaty country nationality | Are you a citizen (not just a resident) of a country on the State Department’s E-2 treaty list? |
| Investment made or underway | Have you already invested, or irrevocably committed funds to a specific business you’re about to run? |
| Substantial amount | Is your investment large relative to the cost of the business (the cheaper the business, the higher the proportion must be) |
| Funds at risk | Could you actually lose this money if the business fails, rather than it sitting in a bank account? |
| Lawful source of funds | Can you trace every dollar to a legitimate origin? Savings, an asset sale, a gift, or a loan not secured against the business? |
| Real and operating enterprise | Does the business genuinely trade goods or services for profit, rather than existing only on paper? |
| Not a marginal enterprise | Will the business earn more than a bare living for you and your family now, or within five years if it’s new? |
| Ownership or control | Do you own at least 50%, or otherwise hold operational control through a managerial role or corporate device? |
| Develop and direct | Are you the one steering the business, rather than a passive investor or a rank-and-file employee? |
| Intent to depart | Can you satisfy the officer that you intend to leave the US when your E-2 status ends? |
| Evidenced business plan | Can you show, on paper, financials and staffing that back up every claim above? |
E-2 Visa Investment Requirements
In this section, we’ll provide you with the E2 Investor Visa requirements you must meet to apply for this program.
Treaty country nationality
You must hold citizenship of any of the approximately 80 treaty countries, such as Canada, Belgium, Germany, Singapore, and Cameroon. The E-2 Visa is not offered for non-treaty country citizens. You must hold citizenship of a country on the State Department’s treaty list. Residency in a treaty country is not enough, and dual nationals can qualify through whichever eligible passport they hold.
Investment
You must have invested in an enterprise, or are in the process of investing.
If you have already invested, you must show proof that the source of the investment funds was acquired through legitimate means, such as savings, sale of an asset, gifts, etc.
If you are in the process of investing, you must commit funds towards the investment and ensure that it is real and irreversible. You should be close to beginning the business, not just simply looking for locations or signing contracts.
To validate this requirement, once you commit to the decision of investing, the business broker will draw an asset purchase contract between the current owners of the business and your US company.
If your E-2 Visa application is accepted, the funds will be passed on to the seller, and you will get the business.
CTA: If you are interested to find out more about the E-2 Visa, required documents, and processing time, refer to our guide on E-2 Visa USA.
Substantial, at-risk investment
You must invest a substantial amount in a bona fide enterprise in the US, and the investment must be at risk. There is no set dollar figure that qualifies as a substantial amount for the E-2 Visa investment, and there is no fixed percentage either.
- Substantial is measured in proportion. Your investment is weighed against the total cost of buying or setting up the business. It must be enough to demonstrate your financial commitment and to support the likelihood that you will successfully develop and direct it. The lower the cost of the enterprise, the higher the proportion you must invest.
- The funds must be at risk. Funds that could not be partly or wholly lost if the business fails are not an investment. For example, money sitting in an account, or funds set aside until you see how trading goes, do not count.
- Borrowed money only works if you carry the loss. Debt secured by the business’s assets cannot be counted, even where some personal assets are pledged alongside it. Only borrowing against your own personal assets, such as a second mortgage on your home, or a loan on your personal signature, may be included, because you bear the loss if the business fails.
Real, operating & more than a marginal business
The enterprise that you are investing in must be genuine and operating, and should provide goods and services for profit.
- It cannot be idle or an enterprise on paper. The US Embassy will assess your documents, such as registration documents, founding documentation, federal employer’s identification number, etc., as proof of establishment. They will also review tax returns, employee data, business licenses, and other records to verify that your company is active and operating as required.
- The enterprise that you are investing in should not be just a marginal enterprise. A marginal enterprise is one that does not have the present or future capacity to generate more than enough income to provide a minimal living for you and your family.
- If your enterprise cannot generate that income yet because it has only just started, it should be capable of reaching that point within five years from the date your E-2 classification begins. Note the start date: the clock runs from when your classification takes effect, not from when the business starts trading.
- The E-2 has no job-creation quota and no minimum economic-contribution threshold, unlike the EB-5 immigrant investor route. However, hiring US workers and showing revenue growth are the most persuasive ways to demonstrate that the business clears the marginality bar, which is why business plans usually include staffing projections, but they are evidence, not separate legal requirements.
Note that just an intent for investment or having uncommitted funds in the bank account will not be considered an investment.
Ownership and control of the business
The E2 treaty investors must have at least 50% ownership OR possession of operational control through a managerial position or other corporate device. You should also be developing and directing the investment enterprise activities through your ownership.
Depart the US when E2 status terminates
Since the E-2 is not an immigrant visa, you must prove to the embassy that your intent in entering the US is just to work and live temporarily. There is no prescribed document for this. The consular officer will assess your intent from your application as a whole and may ask about ties to your home country, such as property, family or ongoing work.
Creating a business immigration plan
The embassy will be expecting you to submit a business plan at the time of the interview. Here are some pointers to consider while developing a business plan.
Financial strategy
Set out realistic financial projections showing how the business will generate more than a minimal living for you and your family, and how it will fund any staff you plan to hire.
Be realistic with your financial plans. After two years, when you go to renew your visa, you will be asked for proof. You need to show the figures and documentation as proof of achieving the projections you mentioned at the time of applying.
Operational strategy
You are required to show evidence of your 50% ownership of the enterprise you invested in. The US Embassy will want you to brief them about your business activities in the US. There is a multitude of corporate structures (LLC and US corporation) in the US for securing an E-2 Visa. You need to decide under which one you are going to operate.
Personnel strategy
Describe how you will staff and direct the business. Hiring US workers is not a statutory requirement for this visa, but a credible staffing plan is the strongest available evidence that the enterprise is more than marginal and that you are developing and directing it rather than simply working in it.
Marketing strategy
You should impress the US Embassy with your approach to marketing within the US. Mention your plans, budget, and personnel requirements for the marketing activity in the document.
It will be an added advantage if you can mention some contacts or meetings that are lined up in relation to your enterprise, or contracts.
Skills and experience
Your background does not have to match the industry, but the officer will consider whether you can credibly develop and direct this particular business. Where your experience is in an unrelated field, be ready to explain how you will manage it through relevant transferable skills, sector training, or experienced hires.
E-2 Visa processing time, stay, and extension
Processing time
Processing time can take anywhere from 3 to 6 months. However, this timeline varies by consulate and case; check the current guidance of the consulate where you will apply. If you are outside the US, then your application will be processed at the US Consulate in your country. If you are in the US, then you can apply directly at the USCIS to change your visa status to having an E-2 Visa.
The change of status takes two to three months. However, you can apply for premium processing at an additional cost of $2,965. USCIS takes adjudicative action within 15 business days of a properly filed request. If you are not sure about the application process, hire an immigration attorney from a law firm.
Stay and extension
The E-2 Visa gives a maximum initial stay of two years. Extensions of stay, or changes of status to E-2, may be granted in increments of up to two years each, and there is no limit on the number of extensions you can receive, as long as the investment continues to meet the requirements.
The principal investor is allowed to travel abroad and is granted an automatic two-year readmission period on entering the US. If the family members are traveling along with the primary investor at that time, then they can request readmission to the US.
Employee requirements for the E-2 Visa
As a principal investor, you can apply for E2 for qualifying employees, who must be of the same nationality as yours (same treaty country). The registration might take a few months, depending on the jurisdiction, as the timelines for employee visas depend on the consulate handling the application.
The E-2 Visa can be extended to other personnel if they meet the following conditions.
Supervisors, executives, and managers
They must hold a managerial position and handle an entire business or a key part of the business.
Skilled workers or specialists
The employee must have highly specialized skill capacity in some area related to the business, that is difficult to find in the US.
Family members of E2 treaty investor visas
The family members of the E2 treaty investors are also eligible to apply for the E-2 Visas, and they can also stay up to two years in the US. The dependents and spouses need not be from the same treaty country as the principal E-2 Visa holder. Children under 21 may study but cannot work, and on turning 21, they need to move to another category.
Spouses in valid E-2 or E-2S status are authorized to work and are not required to file Form I-765 to do so. Since 30 January 2022, USCIS and CBP have issued Form I-94 with an E-2S admission code, and an unexpired I-94 showing that code is acceptable evidence of employment authorization for Form I-9 purposes. A spouse may still choose to file Form I-765, with a fee, to obtain an Employment Authorization Document, but this is optional rather than required.
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