Key Takeaways:

  • Foreign entrepreneurs aiming to start a business in the U.S. have various visa options depending on their needs, such as the B-1, E-2, L-1, H-1B, and O-1A visas.
  • Before applying for a visa, entrepreneurs should have a clear business plan, familiarize themselves with the USCIS Entrepreneur Visa Guide, and consult an immigration attorney.
  • Temporary visa options include the Visa Waiver Program, B-1 visa, and the L-1A visa.
  • Long-term options include the EB-5 visa, which grants permanent residency to those who invest in job-creating ventures, and other EB visas for specific professionals.
  • The article will be enhanced with additional visa details, including updates on the International Entrepreneur Rule and specific legal processes.

From Procter & Gamble to Google, some of the greatest companies in America have been founded by immigrants. In fact, according to a report by the Partnership for a New American Economy first and second-generation immigrants have founded up to 40 percent of the Fortune 500 companies today, making a significant contribution to the fertile American economy. Unfortunately, many of these entrepreneurs had to overcome various hurdles to be allowed entry into the United States of America (U.S.A.).

In August 2016, President Obama proposed the International Entrepreneur Rule, which stated that foreign entrepreneurs may be allowed to temporarily enter and stay in the U.S.A. for up to five years without a visa. Although it is possible that President-elect, Donald Trump, will seek to terminate this proposal, foreign entrepreneurs who are currently ready to create a startup and wish to stay in the U.S.A., may still have options at their disposal.

Before getting a visa

Interested parties should start by reviewing the U.S. Citizenship and Immigration Services (USCIS) Entrepreneur Visa Guide. The next essential step is to find an experienced immigration attorney. Getting a visa to start a company in the U.S.A. can be a lengthy and complicated process, so being well-informed on the requirements and process will greatly increase the chances of success.

Next, it is vital to have a clear business plan prepared. Many visas have eligibility requirements that demand a well-thought-out business plan.

International Entrepreneur Rule: A Key Option for Entrepreneurs

In addition to traditional visa routes, the International Entrepreneur Rule (IER) offers a unique opportunity for foreign entrepreneurs to enter and stay in the U.S. temporarily without the need for a traditional visa. Proposed by President Obama in 2016, this rule allows qualified entrepreneurs to remain in the U.S. for up to five years, provided they can demonstrate that their startup business has significant potential to create jobs and stimulate the economy. While the rule's future is uncertain due to changes in administration, it still offers a possible pathway for many entrepreneurs to consider. Applicants must meet specific criteria, such as securing substantial investment, possessing a central role in the business, and showing the business’s potential for growth.

Type of Visas for Entrepreneurs of Startups

Stay for 90 days or less

  • Visa Waiver Program: The U.S. Department of State offers the Visa Waiver Program for foreign entrepreneurs who plan on staying in the U.S.A. for 90 days or less (please click here for further details and the list of applicable countries). Under this Visa Waiver Program, foreign entrepreneurs are allowed to engage in business, including negotiating contracts, and may be allowed entry into the U.S.A.  several times with a waiver before needing to apply for an actual visa.

Stay for 3-6 months

  • B-1 visa: A foreigner is allowed to stay in the U.S.A. for up to six months on a B-1 or B-2 visa, but the B-1 visa allows the foreigner to conduct business. Those who do not qualify for a waiver, consider the B-1 visa a great option for a temporary stay to conduct business. Please note that the B-1 visa can also be extended once by six months, and only allows the foreigner to conduct business, and not to work for another person or business (i.e. as an employee).

Stay for 1-3 years

  • L-1A visa: For managers and executives for foreign companies, there is the option of the L-1A visa. The foreign company must be incorporated back home, and with the L-1A visa, a manager or executive can open an office in the U.S.A. and stay for an initial period of one year, once they have proven to belong to a legitimate business. Managers and executives with specialized knowledge can come to the U.S.A. on an L-1B visa for up to three years.
  • E-2 visa: Foreign entrepreneurs that have at least $100,000 available to invest in their startup business in the U.S.A. may prefer the E-2 visa if their country of origin is on the list of eligible treaty countries (please click here for a list of treaty countries). The E-2 visa allows them to stay in the U.S.A. for up to two years.
  • H-1B visa: For foreigners who will be considered as an employee at an American company, H-1B visa allows for a stay of up to three years. Applicants will need an American sponsor, and even a foreign co-founder of an American company can qualify as an employee under this H-1B visa if they meet the various requirements including occupation type, salary, and others (please click here for the complete list of requirements). This H-1B visa can also be extended once by three years.
  • O-1A visa: For foreigners that have extraordinary abilities/special talents that can be demonstrated (e.g. foreigners that have created an app or software that received substantial media coverage), there is the option of staying in the U.S.A. for up to three years on an O-1A visa. The O-1A visa requires an American company to sponsor the applicant (please click here for the complete list of eligibility requirements).
  • F-1 visa: The F-1 visa is a student visa. As long as the foreigner is enrolled at a university approved by the USCIS, the F-1 visa is granted for stay in the U.S.A. for the duration of the enrolled program. F-1 visa holders will need to leave the U.S.A. within 60 days of finishing the program. This F-1 visa gives holders the opportunity to obtain a lot of technical experience, and to start networking with potential business partners. F-1 visa holders can also work in their field for one year at each educational level under the F-1 OPT program. This work can be done during or after the school program and participants can have dependents accompany them on an F-2 visa.
  • J-1 visa: A J-1 visa is similar to the F-1 visa, except it is granted for researchers, scholars, and visitors in programs that promote cultural exchange. J-1 visa holders can stay for the entirety of their program, with an additional 18-36 months for training upon completion of the program, depending on their education level. J-1 visa applicants need a sponsor, such as the government or university, and can work for this sponsor while in school, and may also be eligible to work for someone other than that sponsor if they meet certain eligibility requirements.

Stay permanently on visa

  • EB visas: EB-1, EB-2, EB-3, EB-4, and EB-5 are employment-based visas that provide a permanent residency option. EB-1, EB-3, and EB-4 visas require meeting certain requirements, (please click here for a complete list of requirements), and a sponsoring employer. An EB-5 visa can result in permanent status, but recipients must invest $1 million in a company and either save or create 10 American jobs. If starting a company in a rural area, recipients only need to invest $500,000. An EB-2 visa is for individuals holding advanced degrees who can show that their startup will benefit America. There are exemptions that can avoid the sponsoring employer requirement.

Expanding Visa Options for Entrepreneurs in the U.S.

While temporary visa options like the B-1 and E-2 can be ideal for many entrepreneurs, those looking for more permanent solutions have additional pathways. One of the most popular routes is the EB-5 visa, which provides permanent residency to entrepreneurs who invest at least $1 million in a U.S. business that creates 10 or more full-time jobs for American workers. For businesses in rural or high-unemployment areas, the required investment drops to $500,000.

Entrepreneurs with extraordinary abilities in fields such as technology, science, or business may also qualify for the O-1A visa, which allows for a stay of up to three years, with the possibility of extensions. This visa is particularly beneficial for those who have a record of achievements, like innovations or patents that have garnered significant media attention.

For those with an advanced degree, the EB-2 visa can be a valuable option. This employment-based visa allows entrepreneurs to bypass the usual sponsorship requirements if they can demonstrate that their business will significantly benefit the U.S. economy. Additionally, individuals on F-1 visas who are pursuing higher education in the U.S. may qualify for the Optional Practical Training (OPT) program, allowing them to work in their field for up to 12 months post-graduation, with opportunities to extend based on certain criteria.

Considerations for Visa Application Success

Successfully obtaining an entrepreneur US visa requires careful preparation and attention to detail. Beyond selecting the right visa, applicants must present a convincing case to U.S. immigration authorities. Below are a few essential tips to improve the likelihood of success:

  • Create a Comprehensive Business Plan: Many visas, such as the E-2 and EB-5, require a well-detailed business plan to demonstrate the viability and potential growth of your startup.
  • Secure Investment and Proof of Funds: Several visas require proof of substantial investment. Whether it’s the $100,000 needed for the E-2 visa or the $1 million for the EB-5 visa, applicants must show clear documentation of how they plan to finance their business.
  • Establish U.S. Job Creation Potential: The EB-5 visa and other employment-based visas require the creation of U.S. jobs. Be prepared to outline how your business will contribute to the U.S. economy and workforce.
  • Consult with an Immigration Attorney: Navigating the complexities of U.S. immigration law is challenging. Partnering with an attorney who specializes in entrepreneur visas can greatly enhance your chances of a successful application.

Work with UpCounsel for Legal Guidance

Navigating the process of applying for an entrepreneur US visa can be complex, especially with so many options and specific requirements to consider. That’s where UpCounsel can help. UpCounsel connects entrepreneurs with experienced immigration attorneys who can provide tailored legal advice and assistance throughout the visa application process. With a marketplace that screens and selects top-tier lawyers, entrepreneurs can find the best legal representation to guide them through their journey to the U.S.

FAQ Section:

  1. What is the International Entrepreneur Rule, and how does it help startups?
    The International Entrepreneur Rule allows foreign entrepreneurs to stay in the U.S. for up to five years without a traditional visa, provided they meet specific criteria such as securing investment and creating jobs. This rule aims to support high-potential startups.
  2. What are the best visa options for foreign entrepreneurs looking to start a business in the U.S.?
    The best visa options include the B-1 visa for short-term business stays, the E-2 visa for treaty country investors, the EB-5 visa for significant investments, and the O-1A visa for individuals with extraordinary abilities.
  3. How can I qualify for the EB-5 visa?
    To qualify for the EB-5 visa, you must invest at least $1 million in a U.S. business (or $500,000 in a rural area) and create at least 10 full-time jobs for U.S. workers.
  4. Can I start a business in the U.S. on an F-1 student visa?
    An F-1 visa alone does not allow you to start a business, but through the Optional Practical Training (OPT) program, you may work in your field of study, which can provide an opportunity to gain experience and build connections.
  5. Should I consult with an attorney before applying for an entrepreneur US visa?
    Yes, consulting an experienced immigration attorney can help you navigate the complex visa application process and ensure you select the best visa option based on your business goals.

Those foreigners who wish to come to the U.S.A. to get started on an entrepreneurial path can post their legal needs in UpCounsel's marketplace. UpCounsel's attorneys have an average of 14 years of experience and can help find the best option to get the entrepreneur into the U.S.A. legally. Out of all applicants, 95% of lawyers are screened out from UpCounsel, ensuring the highest quality in legal assistance.