A big question on your mind when contemplating the E-2 visa may be: how much money do you need to invest? For company creators and investors who want to reside along with labor in the United States, the E-2 visa is a wonderful selection. Nonetheless, knowing the financial requirements is essential for a successful application.
Understanding the E-2 Visa
The E-2 visa, Treaty Investor Visa, enables nationals from certain countries to reside and operate a business in the U.S. based on their investment. This visa is for citizens of specific countries that the US maintains a Trade and Navigation Treaty with. This is a non-immigrant visa and does not directly provide a path to legal permanent residency. This visa is indefinitely renewable so long as your business qualifies for the visa.
An E-2 visa requires that you financially commit to a U.S. business. But to what extent is “substantial?” It meant no particular dollar amount. Rather, it’s assessed from the point of view of the cost of the whole business, how effective the business can be, and whether the business can work its way out to provide you with a salary and provide for you and your family.
Most successful applicants will invest between $100,000 and $150,000, but that amount can vary based on the business type and where it’s located. A service-based business may require a much lower investment than a manufacturing business etc. You also need to remember that the capital you are injecting must be at risk and legally obtained.
Here at The Law Office of Olena Manilich, we focus on assisting investors with their E-2 visa journey. If you would like help with your application or have any questions, just ask us!
Typical Investment Amounts
Figuring out how much to invest for an E-2 visa might seem like a challenging task, but getting a sense of the range can make it a little less overwhelming to plan. There is no minimum investment amount required by the U.S. government. Successful applicants typically Invest $100,000 to $150,000.
For businesses that require lower startup costs such as a service-oriented or an online business, investments usually are in the $50K – $100K range. Allow inflation to be burned from supply to incentivize users with the least cost of capital, allowing very small and very secure loans to be requested.
Conversely, operations-heavy businesses with costs such as manufacturing or retail need much larger investment amounts. These endeavors might cost you $200,000 and above. The larger capital pays for significant costs such as equipment, the purchase of inventory, commercial real estate, etc.
This will vary, of course, based on your business and size. By assessing the ideal amount your business requires and producing a comprehensive enterprise program, you can ascertain which investment total to commit. The Law Office of Olena Manilich can help explain the E-2 visa financial test to you.
Factors Influencing Investment Amount
Many variables will impact the amount you need to invest for an E-2 visa. Therefore, if you want to disperse your investment, know these factors to better plan your investment.
To start with, we need to think of what kind of business. There are different businesses with different capital requirements. The informed understanding of startup capital is relative to a similar understanding of traditional finance. A tech startup likely requires less initial capital compared to a restaurant or manufacturing plant. Understand the actual requirements of your business.
Then, a good business plan can give you a great advantage. It could detail your costs, revenue, and growth potential in a business plan. It provides evidence that what you are investing will be enough to help the business get off the ground.
Rents are also usually higher for property in urban areas than rural areas, so there is likely to have been more serious investment in the property standings where rents are high. Do your research and consider the current cost of living and the cost of doing business in the location where you are interested in launching.
So, also realize if you are purchasing an existing one or planning to start from scratch. Traditional businesses – which have higher upfront costs. But they may also bring with them an established user base or income, a positive.
Conclusion
The process of obtaining an E-2 visa thus requires both long-term planning and knowledge of the financial requirements. Usually, the investment of all successful visa applicants falls somewhere between $100,000-$150,000, but that amount will vary depending on the kind of business and its location.
Investor money must be put at risk, and be derived from a legitimate source of funds. You need a robust business plan that shows the financial model behind your investment. The Law Office of Olena Manilich is here to help you with the E-2 visa process. Contact our office to schedule a consultation and we will assist you to make your dream of America a reality!
