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Category Archives: US start up visa program

September 28, 2026

Three Ways to Expand Your Business to the USA

A Guide to Business Immigration Options

For Indian entrepreneurs and business owners, entering the American market is often less about starting from scratch and more about choosing the right legal pathway to move people, leadership, or capital across borders. U.S. immigration law offers several routes for this, but three stand out as the most commonly used by companies looking to establish, grow, or invest in a U.S. presence: the L-1 visa, the EB-1C visa, and the EB-5 visa. Each serves a different purpose, comes with its own eligibility criteria, and leads to different long-term outcomes. Understanding how they differ, and how they can work together, is essential for any business owner planning a serious move into the U.S. market.

 

1. Expanding Through People: The L-1 Visa

The L-1 visa is designed for companies that already have an established business outside the United States and want to open, run, or grow a U.S. office by transferring their own staff, rather than hiring locally from day one. It is a non-immigrant visa, meaning it is temporary in nature, but it is one of the most flexible and widely used tools for cross-border business expansion because it does not require a labor certification or proof that no qualified American worker is available for the role. The employer simply needs to demonstrate a genuine business need and a qualifying relationship between the overseas company and the U.S. entity.

There are two categories under the L-1 visa. The L-1A is for executives and managers, and covers individuals who will direct the organization, a major function within it, or a team of professional employees. This is typically the category used by business owners themselves, or by senior leadership being sent to establish and run the U.S. operation.

The L-1B is for employees with specialized knowledge, meaning individuals who possess an advanced level of expertise in the company’s products, services, research, systems, or processes that is not commonly found in the broader labor market. This category is often used for technical staff, engineers, or subject-matter experts whose knowledge is critical to setting up or operating the U.S. business.

To qualify for either category, the employee must have worked for the overseas company for at least one continuous year within the three years immediately preceding the application. The overseas and U.S. entities must also have a qualifying relationship, such as parent and subsidiary, affiliate, or branch office, and both entities must be actively doing business, not simply holding an office on paper.

One of the most valuable features of the L-1 visa is the new office provision, which allows a company that does not yet have a functioning U.S. office to still bring over an executive or manager to establish one. In this case, the initial approval is limited to one year, after which the company must show that the U.S. office is operating, generating revenue, and has hired staff, in order to extend the visa further. This makes the L-1 an ideal entry point for businesses that are serious about a U.S. presence but are still in the early stages of building it.

Once approved, the L-1A visa can be extended up to a maximum of seven years, while the L-1B can be extended up to five years. Spouses of L-1 visa holders receive L-2 status, which allows them to apply for work authorization in the U.S., and children can attend school on the same dependent status. Perhaps most importantly for long-term planning, L-1A status creates a natural and efficient bridge to permanent residency, because L-1A executives and managers are the exact profile targeted by the next category: the EB-1C visa.

2. From Transfer to Green Card: The EB-1C Visa

While the L-1 visa is temporary, the EB-1C is an immigrant visa category, meaning it leads directly to a Green Card from India. It is specifically designed for multinational executives and managers who have been working abroad for a company that has a qualifying U.S. affiliate, and who now wish to continue in an executive or managerial capacity for the U.S. entity on a permanent basis.

The eligibility requirements mirror those of the L-1A in many respects. The applicant must have worked in a managerial or executive role abroad for at least one year within the three years before filing, and there must be a qualifying relationship between the U.S. company and the overseas entity. The U.S. company must also have been doing business for at least one year at the time of filing. Because of this overlap, the EB-1C is often pursued as the natural next step after an individual has spent time in the U.S. on an L-1A visa, having already demonstrated that the U.S. office is functioning and that the executive role is genuine.

What makes the EB-1C particularly attractive compared to most other employment-based Green Card categories is that it does not require labor certification. Most employment-based immigrant visas require the employer to first test the U.S. labor market and obtain a certification from the Department of Labor showing that no qualified American worker is available for the position. This process, known as PERM, can take well over a year on its own. The EB-1C skips this step entirely, which significantly shortens the overall timeline and reduces administrative burden, making it one of the more efficient employment-based Green Card routes available.

That said, processing times for EB-1C petitions are still subject to the U.S. visa bulletin, which allocates a limited number of Green Cards each year by country of birth. Applicants born in countries with high demand, notably India, may experience longer waiting periods for their priority date to become current, even after the petition itself is approved. This is an important planning consideration, and one where early filing can make a meaningful difference over time.

The outcome of a successful EB-1C petition is significant: a direct, permanent Green Card for the applicant, along with the applicant’s spouse and unmarried children under 21. There is no need to first hold a temporary L-1 visa to qualify for EB-1C, though in practice, many successful applicants do use the L-1A as a stepping stone, since it allows the U.S. business to establish a track record before the permanent petition is filed.

3. Building a Presence Through Capital: The EB-5 Visa

The third major route, and the one most distinct from the other two, is the EB-5 visa. Rather than being based on an employment relationship or a transfer of personnel, the EB-5 is an investment-based Green Card category. It is designed for individuals who are willing to invest a significant amount of capital into a new commercial enterprise in the United States and, in doing so, create jobs for American workers.

The minimum investment threshold depends on the location of the project. For investments made in a Targeted Employment Area, meaning a rural area or a region with high unemployment, the required investment is 800,000 US dollars. For projects outside a Targeted Employment Area, the standard investment amount is 1,050,000 US dollars. In either case, the investment must be at risk, meaning it must be placed into a genuine commercial enterprise with the potential for gain or loss, rather than simply parked in a safe or guaranteed instrument.

The central requirement of the EB-5 program is job creation. The investment must directly or indirectly create or preserve at least ten full-time jobs for qualifying U.S. workers within a defined period. There are two broad ways to meet this requirement. The first is direct investment, where the investor starts or invests in their own business and is directly responsible for creating the required jobs. The second, and by far the more common route among Indian investors, is investment through a Regional Center, which is a USCIS-designated entity that manages larger development projects and pools capital from multiple investors. Regional Center investments allow for a more passive role, since job creation can be counted using indirect and induced employment models, and the investor is not required to be involved in the day-to-day management of the business.

Because EB-5 does not require the investor to work for or manage the enterprise personally, it is often the preferred route for business owners, professionals, or families who want a Green Card primarily for lifestyle, education, or long-term security reasons, rather than to actively operate a U.S. business themselves. It is worth noting, however, that EB-5 approval is initially conditional. Investors and their families receive a two-year conditional Green Card, and must later file a petition to remove the conditions by demonstrating that the required jobs were, in fact, created and that the investment remained at risk throughout the required period.

Like the EB-1C, EB-5 approval extends to the investor’s spouse and unmarried children under 21, making it a strong option for families planning a long-term move. Unlike the L-1 and EB-1C categories, EB-5 does not require any employer sponsorship at all. The investor is entirely self-sponsored, which removes the dependency on an existing overseas business or employment relationship, and opens the door to individuals who may not have a company to transfer staff from, but do have the capital to invest.

Choosing the Right Path

Each of these three categories serves a different kind of business goal. The L-1 visa is best suited to companies that already have an operating business abroad and want to move their own people to establish or grow a U.S. presence, with a realistic path to later convert that presence into a permanent Green Card through EB-1C. The EB-1C is the natural long-term destination for executives and managers who have proven, often through the L-1, that their U.S. operation is genuine and functioning. The EB-5, by contrast, does not depend on an existing business or employment history at all, and instead offers a direct route to permanent residency through capital investment and job creation, making it especially attractive to investors and families seeking a more passive path to a U.S. Green Card.

For many businesses, these routes are not mutually exclusive but sequential. A company might begin with an L-1 visa to establish its U.S. office, and once that office is operating successfully, its executive can pursue an EB-1C Green Card. Alternatively, a business owner without an existing company structure suited to L-1 or EB-1C may find that EB-5 offers the most direct path to permanent U.S. residency for the entire family.

Given the complexity of eligibility requirements, documentation, and processing timelines involved in each of these categories, working with experienced legal counsel from the outset is essential to choosing the right strategy and avoiding costly delays.

4. Bonus Path

There is also a fourth possibility, distinct from all three immigration routes above, for Indian HNIs and UHNIs who want to invest in the United States purely for financial reasons, with no visa or residency expectation attached. This route is suited to investors seeking higher returns, geographic diversification of their portfolio, and a way to build a corpus for their children’s future education abroad. The investment could be in land, real estate or financial market.

 

Ajmera Law International advises businesses and individuals on global mobility and U.S. business immigration strategy, including L-1, EB-1C, and EB-5 matters.

Contact: Advocate Prashant Ajmera

+91 9974253030  |  prashant@ajmeralaw.com  |  ajmeralaw.com

July 25, 2022

Understanding Investing in EB-5  and different financial structures?

The pathway to USA Green Card by investment, also popularly known as the EB-5 investment visa program, is considered the easiest and safest way to obtain a Green Card. The law behind the EB-5 investor program is very simple but the creative financial structures set up by investors and related professionals make investing in EB-5 look like a very complex process.

The simple EB-5 law

  1. An EB-5 investor may make an investment of US$ 800,000 in a new commercial enterprise / new business which will create 10 new jobs provided the business is located in a rural area or high unemployment area or the project is an infrastructure project. In all other cases, the investment amount shall be US$ 1,050,000.
  2. The investment should be a business risk.
  3. The investment amount should come from a legitimate source, including earned money or a loan, or a gift.

This simple EB-5 regulation has been converted into complex financial structures, making the investment process seem very complicated for investors.

Here are the direct and indirect EB-5 investment scenarios:

Direct Investment

An investor can start on his own or partner with someone in the USA for a new business located anywhere in the USA, make an investment of US$ 1,050,000 and create 10 jobs. The investor will then qualify for a visa under the EB5 program. If this business is located in a rural area or high unemployment area, the investment amount will be US$ 800,000.

Investors who are capable of operating and managing a business may opt for this type of direct investment.

Indirect investment

In this case, several geographical areas in the USA may be combined and approval from USCIS is obtained to declare the area as a Regional Centre.

It is under this type of indirect investment, various financial structures are offered to investors for making an investment.

Here are some simple examples:

EB-5 Equity investments

A developer in the USA approaches USCIS to receive permission to declare a certain geographical area of the USA as a regional center. The developer then starts his project in this area and uses the EB-5 program to raise funds. The project will also be financed by a bank loan and the developer’s equity in the regional center as well.

In this type of project, the developer invites investors to make an investment as equity or as preferred equity partners.

Very few developers in the USA use this model. In such cases, there is one project and one developer.

EB-5 Debt model 

A company raising funds for a business or project in the USA may approach USCIS to receive permission to declare a certain geographical area of the USA as a regional center.

Once the area is declared a regional center, the company may approach developers or businesses to set up a project there.

Rather than making a direct investment in the project company, in this case, a second company is created in which EB-5 investors make an investment as equity partners. This company then gives a loan to the project company to carry forward the project. Hence this is known as the Debt model.

This is the most popular model for EB-5 investment.

It is interesting to note that US companies assisting to raise funds for US developers or businesses also undertake marketing for EB-5 projects outside of the USA to attract EB-5 investors.

In this case, too there is one project and one developer but there is also an intermediary company, such as a fundraising company and/or EB-5 marketing company.

EB-5 Fund / Mutual Fund model

A company raising funds for a business or project in the USA may approach USCIS to receive permission to declare a certain geographical area of the USA as a regional center or the company may rent a regional center from another company who has already received approval from USCIS for a regional center.

Once the area is declared a regional center, the company may approach several developers or businesses to set up a project there.

The EB-5 fund may be created for just one project or business or several projects or businesses in a regional center.

Using EB-5 funds for several projects reduces the risk by diversifying the portfolio as in the case of regular mutual funds in financial markets.

This model is used by very few companies in the USA.

To protect EB-5 investors, the US government has introduced the new EB-5 Reform and Integrity Act. Thanks to this new regulation, we may see a major shift in the EB-5 marketplace. Many companies marketing EB-5 projects or raising funds or renting regional centers may face financial viability issues due to a long list of compliance requirements.

Depending on your personal aptitude, investors may decide to invest in EB-5 to receive a USA green card.

Legal disclaimer:

This blog is written in a very simplified manner for the purpose of making investors understand the various models related to EB-5 investment. Investors are advised to consult a qualified US immigration lawyer before making any decision regarding an EB-5 investment.

For Indian investors – Investing in an EB-5 visa from India is a legal matter and as per Indian law, only Indian lawyers having expertise in the EB-5 program must be consulted. 

June 1, 2021

By removing the Trump administration proposal that aimed to kill the initiative, the Biden administration wants to resurrect an immigration program that allows foreign entrepreneurs to operate in the United States.

The International Entrepreneur law, which was then proposed by President Barack Obama’s administration three days before he left office in 2017, enables foreign entrepreneurs to work in the United States for up to five years if their start-ups can raise at least $250,000 from the venture capital in the United States, recruit ten employees, or meet other criteria.

As part of its attempts to revive the program, the Biden administration intends to market it. These actions are in response to demands from venture capital firms, which want the administration to support a program that would encourage thousands of foreign start-up founders to relocate to or stay in the United States to expand their ventures.

The Biden Administration is unlocking an enormous job growth opportunity by incorporating the International Entrepreneur Rule, which will help the United States remain the global leader in innovation,” said Bobby Franklin, the group’s president and chief executive.

“Immigrants in the United States have a long history of entrepreneurship, hard work, and creativity, and their contributions to this nation are incredibly valuable,” said Acting U.S. Citizenship and Immigration Services Director Tracy Renaud.

Currently, there is no visa available for start-up founders in the United States, despite the widespread bipartisan support for the concept. Other visa types must be used for foreign entrepreneurs, but none are ideal.

Between 2017 and 2019, USCIS received only 30 applications for the program, with only one being accepted, according to a USCIS official.

According to USCIS, if the program is properly implemented, about 3,000 international entrepreneurs would qualify per year, resulting in the creation of about 100,000 jobs over a ten-year period.

This article is contributed by Ms. Dishita Sheth, Intern at Ajmera Law Group 

May 26, 2021

In order to apply under the Start-Up Visa Program of the U.S., start-up founders need to meet the following requirements:

  1. Founder(s) must show themselves as entrepreneurs with a Qualifying Start-up Entity.

Evidence and supporting documents that are filed with the petition must demonstrate that –

(1) The founder(s) have a central and active role to play in the operations of a start-up entity, such that they are well-positioned, due to their knowledge, skills, or experience, to substantially assist the U.S. start-up entity with the growth and success of its business;

(2) Possess at least a 10% ownership stake in the U.S. start-up entity, and that the entity:

(a) Was recently formed (for example, created within the five years immediately preceding the filing of the petition) and has been lawfully doing business within the United States during any period of operation since its date of formation; and

(b) Has substantial potential for rapid growth and job creation, evidenced by the receipt of significant capital investment, grants, or awards.

  1. Substantial Investment, Grant, or Award.

Founders may be considered for entrepreneur parole if they demonstrate that their start-up entity has received a minimum investment amount or qualified award or grant as described below:

(1) The start-up entity has received a qualified investment, within 18 months immediately preceding the filing of the petition, of at least $250,000 US from one or more qualified investors;

(2) The start-up entity has received, within 18 months immediately preceding the filing of the petition, an amount of $100,000 US or more through one or more qualified government awards or grants; or

(3) If the start-up entity partially meets one or more of the above criteria, founders may still be considered for entrepreneur parole by providing other reliable and compelling evidence of the start-up entity’s substantial potential for rapid growth and job creation.

A lesser amount can be considered on a case-by-case basis if it can be shown that it is substantial.

  1. The investment must be from a ‘Qualified Investor’.

The term ‘qualified investor’ for purpose of entrepreneur parole means an individual who is a U.S. citizen or lawful permanent resident of the United States, or an organization that is located in the United States and operates through a legal entity organized under the laws of the United States or any state, that is majority-owned and controlled, directly and indirectly, by U.S. citizens or lawful permanent residents of the United States, provided such individual or organization regularly makes substantial investments in start-up entities that subsequently exhibit substantial growth in terms of revenue generation or job creation.

Such an individual or organization may be considered a ‘qualified investor’ if, during the preceding five years:

(1) The individual or organization has made investments in start-up entities in exchange for convertible debt or another security convertible into equity commonly used in financing transactions within their respective industries comprising a total in such 5-year period of no less than $600,000 US; and

(2) Subsequent to such investment by such individual or organization, at least 2 such entities have each created at least 5 qualified jobs or generated at least $500,000 US in revenue with average annualized revenue growth of at least 20%.

  1. Additional Supporting Evidence.

Additional supporting evidence concerning the start-up entity’s business, its substantial potential for rapid growth and job creation as well as the founders’ day-to-day role in the business has to be submitted.

If the start-up entity partially meets the qualified investment, government grant, or award criteria, founders may be still considered for parole by providing other reliable and compelling evidence that the start-up entity has substantial potential for rapid growth and job creation.

Such supporting evidence may include, but is not limited to, the following:

(a) Evidence of rapid growth, such as – number of users or customers, revenue generated by the start-up entity, additional investments/fundraising, including crowdfunding platforms

(b) Social impact of the start-up entity

(c) National scope of the start-up entity

(d) Positive effects on the start-up entity’s locality or region

(e) Any other reliable and compelling evidence that the start-up entity has substantial potential for rapid growth and job creation.

December 21, 2017

 

USA government to accept Applications under the International Entrepreneur Rule :

UPDATE 10TH MAY 2021:

  • THIS RULE WAS SUSPENDED BY THE TRUMP ADMINISTRATION BUT REOPNE BY BIDAN ADMINISTRATION.
  • See latest WSJ article – click here

ORIGINAL BLOG OF 2017: 

On 14th December US Immigration department announced that US government will accept the application under the International Entrepreneur Rule –commonly known as Start Up Visa.

These rules were made during the  President Obama Administration and date decided was July 17, 2017. However the rules could not take effect as Department of Homeland Security issued the final Rules only on July 11, 2017 and hence rules were delayed till March 14, 2018.

However, a court case was filed against the delay of the Rules and hence now the Government has been asked to accept the application with immediate effect.

Under this rules there is an unlimited number of the application can be accepted from international entrepreneur to enter the USA, use American investment and grow their Start Up business in USA.

This rules are discretionary and will be decided by Homeland security on a case by case basis for urgent humanitarian reasons or significant public benefit.

This Rules allow  the Start Up founder to come  on a temporary visa basis and does not convert to Citizenship of USA.

Under this final rule, founder of the start up will be eligible to work only for their start-up business. The spouses and children of the foreign entrepreneur may also be eligible for visa as well. The spouse can apply fort work permit once they are USA. Children are not entitle to work permit. These visa is used for a period of three years.

Eligibility

Entrepreneurs applying for parole under this rule must demonstrate that they:

  • Possess a substantial ownership interest in a start-up entity created within the past five years in the United States that has substantial potential for rapid growth and job creation.
  • Have a central and active role in the start-up entity such that they are well-positioned to substantially assist with the growth and success of the business.
  • Will provide a significant public benefit to the United States based on their role as an entrepreneur of the start-up entity by showing that:
    • The start-up entity has received a significant investment of capital ( US$ 250,00 and above) from certain qualified U.S. investors with established records of successful investments;
    • The start-up entity has received significant awards or grants of (US$ 100,000 and above) for economic development, research and development, or job creation (or other types of grants or awards typically given to start-up entities) from federal, state, or local government entities that regularly provide such awards or grants to start-up entities; or
      • They partially meet either or both of the previous two requirements and provide additional reliable and compelling evidence of the start-up entity’s substantial potential for rapid growth and job creation.
    • THIS RULE WAS SUSPENDED BY THE TRUMP ADMINISTRATION BUT REOPNE BY BIDAN ADMINISTRATION.
    • https://www.wsj.com/articles/foreign-entrepreneurs-to-gain-more-access-to-immigration-program-11620647100
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