Before a company owner or employee can apply for a US E2 Treaty Investor visa, the US-based business must first be formally registered.

This process involves setting up a legally-recognized entity in the USA and registering it with the US Embassy or Consulate E Visa Unit where the E2 visa application will be filed.

The registration process helps confirm that the business is eligible for the E2 visa and meets all the necessary criteria for investment, active management and operational success.

In this guide, we explain the steps to set up an E2 Treaty Investor business in the US and the E2 Visa Unit registration process. We also detail the E2 visa investment requirements which must be met to qualify for the Treaty Investor visa.

Section A: What is an E2 Treaty Investor Visa?

The E2 Treaty Investor Visa is a nonimmigrant visa that allows foreign nationals from countries with which the United States maintains a treaty of commerce and navigation to enter and work in the US to direct and develop a business in which they have made a substantial investment. 

1. Overview of the E2 Treaty Trader Visa 

The E2 visa allows nationals of treaty countries, including the UK, to come to the US when investing a substantial amount of capital in a US business. It is specifically designed for entrepreneurs and investors to manage and control an enterprise in the US, provided they are investing a substantial amount of capital in the US-based company.

With an E2 visa, you can live and work in the US as long as you are actively involved in the management and operation of the business. 

While the E2 visa is temporary, typically valid for two years, it can be renewed indefinitely, provided the business remains operational and meets the visa requirements.

It also allows you to be accompanied by your spouse and dependent children. 

The E2 visa is not just limited to business owners. It also extends to employees of the E2 business who have specialized skills or hold executive or managerial positions, allowing them to work in the US under the same visa category. This flexibility makes the E2 visa an attractive option for both investors and their key employees.

2. What is an E2 Treaty Investor Business?

An E2 treaty investor business is an enterprise that has been officially established as a US-based entity and has been registered with a US E Visa Unit at an overseas US Embassy or Consulate.

Once the company is registered with an E Visa unit, E2 visa applications can then be made by the company’s owners, directors and/or employees to prove their eligibility under the visa requirements. 

3. Requirements for E2 Visa Eligibility

To qualify for an E2 Treaty Investor visa, applicants have to meet the following eligibility criteria:

[Insert table 1: E2 Visa Eligibility Criteria]

a. Nationality Requirement

The applicant must be a citizen of a country that has a treaty of commerce and navigation with the United States.

[Insert Table 7: List of E2 treaty countries ]

E2 employees must be nationals of the same treaty country as the E2 treaty investor and hold citizenship from the same country that has a treaty of commerce and navigation with the United States, which the investor’s business is based on.

For example, if the E2 investor is a national of Germany (a treaty country), any employees applying for an E2 visa to work in the US for that business must also be German nationals.

b. Substantial Investment

The investor must have made a substantial investment in a US-based business. There is no minimum amount specified in the regulations. A ‘substantial investment’ is instead assessed in a proportional sense, with no fixed threshold, although the investment must be enough to ensure the business is operational and can generate enough income to support the investor, as well as any employees and their dependent family members.

c. Active and Direct Involvement

To be eligible, the principal applicant of an E2 visa must be coming to the US to solely develop and direct the operations of a new or existing business in which they have already invested or are actively in the process of investing a substantial amount of capital. This must be established by showing at least 50% ownership of the investment enterprise or possession of operational control, such as through a managerial position or other corporate device.

d. Business Must Be Real and Operating

The business must be a real, active, and operating enterprise. It cannot be a speculative or idle investment; the business must contribute to the US economy and create jobs or provide services/products. A passive investment (e.g., owning shares in a business but not participating in its management) does not qualify.

The investor must also be actively involved in the day-to-day operations and management of the business. 

e. Non-Marginal Business

The business must not be marginal. In other words, it should have the potential to generate more than just enough income to provide a living for the investor and their family. A marginal business, one that does not support the investor’s living expenses or create employment, will not qualify for the E2 visa.

f. Intention to Depart the US

While the E2 visa is renewable, it is also a nonimmigrant, temporary visa. The visa holder must, therefore, demonstrate an intention to leave the US when the visa expires or when the business ceases to operate. The E2 visa does not offer a direct path to US permanent residence.

g. Employee Requirements

Employees applying for the E2 visa must be essential to the operation of the E2 business, typically holding an executive or managerial role or possessing specialized skills necessary for the business’s operation.

Employees must show that they intend to leave the US once their visa expires or is terminated unless they qualify for another status.

Section B: Setting Up an E2 Treaty Investor Business in the US

If the E2 treaty investor business is not an existing operation, one of the first steps you will need to take as part of your E2 visa preparation will be to officially establish the US-based company.

Step 1: Choosing the Right Business Structure

Before you can officially begin your business operations, you must decide on the right business structure. The structure you choose will not only impact the way your business is run, but it also has implications for your E2 visa application.

The US offers several business structure options, each with its advantages and requirements. Types of business structure include: 

a. Limited Liability Company (LLC)

An LLC is a popular choice for small and medium-sized businesses due to its flexibility and simplicity. It offers liability protection for its owners (members), meaning their personal assets are generally protected from business debts or lawsuits.

LLCs can have a single owner (member) or multiple members. They are taxed as a pass-through entity, meaning the income is taxed at the individual owner’s tax rate, not at the corporate level.

b. Corporation (C-Corp or S-Corp)

A C-Corporation is a separate legal entity from its owners (shareholders). It offers the highest level of liability protection but is subject to double taxation—once at the corporate level and again when dividends are distributed to shareholders.

An S-Corporation is similar to a C-Corp, but it allows the business income, deductions, and credits to “pass-through” to shareholders’ personal tax returns, avoiding double taxation. However, S-Corps have restrictions on the number and type of shareholders.

c. Partnerships

A partnership is a business structure in which two or more individuals share ownership and responsibilities. Partners share profits, losses, and liabilities according to their agreement. There are different types of partnerships, such as general partnerships and limited partnerships.

d. Sole Proprietorship

A sole proprietorship is the simplest business structure and is owned by a single individual. The owner is personally responsible for all debts and liabilities. While it’s easy to set up, it does not provide liability protection, which could be a concern for an E2 visa application.

There are several factors to consider when deciding which structure is most appropriate for your business.

The E2 visa mandates a substantial investment. A corporation or LLC may be preferable because these structures support the type of business operations necessary to demonstrate your investment’s viability while also providing liability protection.

As an E2 visa holder, you must have a significant role in the day-to-day operations of the business. Structures like LLCs and corporations allow for greater flexibility in defining management responsibilities.

Depending on the structure you choose, your business’s income may be taxed differently. Consider consulting with a tax advisor to ensure that your choice aligns with your financial goals and compliance with E2 visa requirements.

Step 2: Registering Your Business

Once you have chosen the appropriate business structure, the next step is to register your business in the US. The registration process may include both federal and state-level requirements, so it will be important to check the rules in the specific state where the business will be based.

The process itself involves the following general steps: 

a. Choose a Business Name

Select a unique name for your business that complies with state and federal naming regulations. Your business name should not be identical to an existing trademark or business entity.

b. File Articles of Incorporation/Organization

If you are forming a corporation or LLC, you must file articles of incorporation (for a corporation) or articles of organization (for an LLC) with the Secretary of State in the state where your business will be located. These documents outline the business name, address, the names of the business owners, and other relevant details.

c. Get a Federal Employer Identification Number (EIN)

An EIN is necessary for tax purposes and to hire employees. You can obtain an EIN by applying with the IRS, and it is required for all business entities except for sole proprietorships.

d. Register for State and Local Taxes

Depending on the state where your business is located, you may need to register for state-specific taxes, such as sales tax, employment tax and other local business taxes.

Step 3: Obtaining Necessary Permits and Licenses

Depending on the nature of your business and the state in which it operates, you may need various permits or licenses to legally operate. These requirements are typically enforced at the state, local, and federal levels and can vary significantly.

Each state has its own set of requirements regarding business operations, permits and taxes. For example, some states have strict environmental laws that require businesses to obtain permits for waste disposal, water usage and emissions. Consult with the Secretary of State’s office in the state where your business will be based for specific details.

Cities and counties may also have additional regulations that apply to zoning, signage, building codes or health department requirements.

The main types of permits and licenses include: 

a. Business Licenses

All businesses must typically obtain a business license from the local city or county government where the business is located. This license allows the business to legally operate within that jurisdiction.

b. Industry-Specific Licenses

Certain industries require specific licenses or permits. For example, businesses in healthcare, food services, or construction may require specialized state or federal licenses to operate legally.

c. Sales Tax Permits

If your business sells taxable goods or services, you may need to obtain a sales tax permit from your state’s tax authority.

d. Employer Identification Requirements

If you plan to hire employees, you must comply with employment regulations and obtain the necessary worker’s compensation, unemployment insurance, and other employer-related permits.

e. Environmental and Health Permits

If your business has an environmental impact or handles health-related matters (such as restaurants or manufacturing), you will need to obtain the appropriate permits from local or state authorities.

Section C: Understanding the Role of the E2 Treaty Investor Business with the US Embassy

Once you have set up your business in the United States, the next step for obtaining the E2 visa is registering your business with the US Embassy or Consulate’s E Visa Unit. 

1. What is the E2 Visa Unit at a US Embassy or Consulate?

The E2 Visa Unit at a US Embassy or Consulate is a specific department responsible for reviewing and approving the eligibility of businesses and foreign nationals for the E2 visa. 

The unit that you submit your application to will assess your application and verify if your business meets the necessary legal, operational and financial criteria to qualify for the E2 Treaty Investor visa.

It will also assess whether the applicant meets the qualifications outlined for E2 visa eligibility, including confirming that the applicant is a citizen of a treaty country, the investment in the US business is substantial and genuine, and the business will operate and contribute to the US economy.

Key areas for assessment include: 

a. Reviewing the investment’s legitimacy: The E2 Visa Unit examines the size and nature of the investment to ensure it meets the criteria for “substantial investment.”

b. Determining the business’s eligibility: The E2 Visa Unit ensures that the business is real, operational, and non-marginal, meaning it is not just a passive investment.

c. Conducting interviews: Depending on the embassy’s procedures, most applicants are asked to attend an interview to further confirm their eligibility and qualifications.

E2 Visa Unit officials are also responsible for ensuring that all legal and procedural requirements are met before the applicant can proceed with obtaining an E2 visa.

2. How to Register Your Business with the E2 Visa Unit

Registering as an E2 company involves a number of stages.

Step 1: Determine the Embassy or Consulate’s E Visa Unit

First, identify the US Embassy or Consulate in your country of residence that handles E2 visa applications. Many countries have specific consular offices that deal with E2 visa applications.

Review the embassy or consulate’s official website for any specific instructions or forms related to E2 visa applications.

Step 2: Prepare Your Supporting Documentation

Registering as an E2 treaty investor business requires a number of supporting documents to be able to satisfy the various E2 visa requirements, including ownership and investment, proof that the business is real and operating, and proof that it’s more than a marginal business. You’ll also need a detailed overview of the business, all of which can take a great deal of time to prepare, so this must be done well in advance of the application to register.

Step 3: Submit a DS-160 Form (Online Nonimmigrant Visa Application)

Complete and submit the DS-160 form, which is required for all nonimmigrant visa applicants. This form asks for personal details, visa-specific information, and the purpose of your visit to the US.

Step 4: Schedule an Interview

Most E2 visa applicants will need to schedule an appointment for an interview at the US Embassy or Consulate. Check the embassy’s website for the application procedure and interview scheduling instructions.

Usually, this interview has to be within 90 days of your initial notification. A number of interview documents will need to be prepared in advance, including a copy of the confirmation page for the application form DS-160 and appointment confirmation page, your passport, and a colour passport photo if one has not already been uploaded to the DS-160, to name but a few.

Some embassies may also allow the submission of documents online before scheduling the interview, while others may request physical submission of paperwork.

As employees of registered treaty investor businesses don’t have to submit any documents in advance, they will be required to attend their interview with all the documentation required for employees, including, for example, a detailed job description letter and copies of qualifications.

Step 5: Submit Business Registration Documents

As part of the registration process, you will need to submit copies of your business formation documents, including Articles of Incorporation or Organization (depending on your business structure), proof of your investment, and other relevant business details.

Step 6: Provide a Business Plan

Prepare and submit a detailed business plan that outlines the operations of your US business. This should include financial projections, business goals, and strategies for growth to show that the business is non-marginal and has the potential for success.

Step 7: Application Processing 

Once the review of the E2 treaty investor business is complete, you or your legal representative will be notified that the case has been reviewed. You will also be provided with a list of any additional documents required and advised of appointment availability.

3. Support Documents

The documents required to register as an E2 treaty investor business typically include the following:
 

[Insert table 2: Documents Required for E2 Visa Application]

a. Cover letter

To register as an E2 company or business, a cover letter will be required addressing all of the E2 visa eligibility requirements, including that:

i. The requisite treaty exists, which it does for UK applicants.
ii. As the treaty investor, you have the nationality of the treaty country.
iii. You have invested, or are in the process of investing, in a US business. iv. This business is a real and operating commercial entity.
v. Your investment is substantial.
vi. Your investment is more than a marginal enterprise solely for earning a living.
vii. You’re able to develop and direct the US business.
viii. You intend to leave the US when your E2 status expires.
 

b. Application Form

To register as an E2 company or business, you’ll need to provide a copy of the DS-160 confirmation sheet, a copy of the payment receipt showing that the fee has been paid and, if applicable, a signed letter of agreement between you and your legal representative.

You’ll also need to provide a detailed letter discussing your role within the business, printed on official headed paper. This must describe the nature of the business, your title and duties, your qualifications, your salary and benefits, and the company’s contact information.
 

c. Applicant Information

To register as an E2 company or business, detailed information will need to be provided about you as the principal applicant, including a colour photocopy of the biometric data page of your passport and any US visas, US entry/exit stamps and I-94’s, together with a copy of any extensions or change of status granted by USCIS (Form I-797). You’ll also need to submit a copy of your CV and educational certificates, evidence of ongoing residency in the UK, and a signed statement of intent to depart the US upon termination of your E2 visa.
 
d. Proof of Ownership

To register as an E2 company or business, you’ll need various documents to prove ownership of a US business, including articles of incorporation (for a corporation) or articles of organization (for LLCs). You’ll also need any share certificates, operating agreements, share ledgers or other documents to confirm ownership, as well as colour photocopies of the bio data pages of the passports of the owners of the ultimate parent company.

Additional detailed documentation will be required if the business is either a subsidiary or affiliate of a foreign corporation, you have a large company with several owners, or you’re a public company with multiple shareholders, none of whom own more than 50%.
 
e. Proof of Investment

To register as an E2 company or business, you’ll need to provide a detailed breakdown of all funds invested into the US venture, together with evidence of that investment, such as a signed, valid lease for business premises and payments, evidence of equipment and inventory purchases, or evidence of intellectual property.

If you’re buying an existing business, you must provide a signed, valid purchase agreement and, where applicable, a binding escrow agreement that explains how the funds will be distributed if the visa is issued and what happens when it’s not issued. Alternatively, if you’re purchasing a franchise, you must provide a signed and dated franchise agreement, a copy of the franchise disclosure document, plus evidence of payment of the franchise fee.

In any of these scenarios, you’ll need proof of the original source of funds. This could include the sale of property or a sale of a business, an inheritance, loans or earnings, together with evidence that those funds have been moved to the US. If the funds originate from a foreign-based company, you must produce a copy of their latest financial statements.
 
f. Proof that the business is real and operating

To register as an E2 company or business, you must provide evidence that the business is real and active. This could include relevant state or federal licences, any customer agreements or contacts, any other evidence confirming ongoing and future work, or marketing and promotional materials. If the business is either an affiliate or subsidiary of a foreign company or group, you’ll need evidence that the foreign company or group is active, such as financial statements, an annual report or other documents that confirm ongoing trading.
 

g. Proof that the business is more than marginal

Finally, to register as an E2 company or business, you’ll need proof that the business is more than a marginal enterprise. If the business is already operating, you must provide US federal tax returns for the last three years, detailed profit and loss statements for the current and previous years, plus all W-2, 1099s and/or payroll invoices for the last two tax years.

If the business is a new start-up, you must provide a comprehensive business plan, a detailed five-year profit and loss forecast, together with the assumptions on which that forecast is based, and a breakdown of start-up costs necessary for the business to become operational.

4. Cost to Register an E2 Treaty Investor Business

All E2 visa applicants are required to pay a non-refundable and non-transferable MRV application fee of $315. This must be paid prior to registering as an E2 company. Payment of the application fee is also required regardless of whether or not an application results in the issuance of an E2 visa.

If the application is denied, an additional fee will be needed to pay for a new application.

Section D: E2 Treaty Investor Business Investment Requirements

 
To qualify for an E2 Treaty Investor visa, one of the primary factors the US government will evaluate is the nature and scale of the investment made into your US-based business. The investment must not only be substantial but also demonstrate that it has the potential to support a successful and ongoing business operation.

[Insert table 4: E2 Visa Investment Requirements]

1. Qualifying Investments

The E2 visa is specifically designed for individuals who have made a substantial financial commitment to a US business. This investment is one of the key criteria the US government uses to determine if the business meets the necessary conditions to qualify for the visa.

A substantial investment is defined as one that is enough to ensure the successful operation of the enterprise. While there is no set minimum amount defined by US immigration law, the investment must be considered significant in relation to the total cost of either purchasing an existing business or establishing a new one. In general, the investment should be proportional to the total cost of the business and sufficient to ensure its operation.

a. General Guidelines

The amount of the investment can vary greatly depending on the type of business, the type of sector and the amount needed to make the business operational. For example, a business that requires low capital, such as a consulting service, may qualify with a smaller investment than a manufacturing company.

b. Substantial vs. Marginal Investment

The key distinction is that the investment must be substantial enough to ensure that the business will be able to generate sufficient income to support the investor and their family, as well as contribute to the US economy. A marginal business, one that is not expected to generate significant income or create jobs, will not qualify for an E2 visa.

c. Investment Amount

The investment should be substantial enough to fully fund the business, or at least the portion of the business the investor intends to own and operate. This may include funds used for purchasing or establishing a business, as well as any funds allocated to essential assets such as equipment, inventory, leases, and working capital.

d. Sources of Investment

The source of funds must be legal and traceable. The US government requires that investors show proof that the money invested is coming from legitimate sources, such as personal savings, loans from financial institutions, or funds received from the sale of another business. The government will not accept investments derived from illegal sources, and the investor must be able to document the flow of funds.

e. Documentation

To substantiate the investment, investors will need to provide detailed documentation such as bank statements, financial records, wire transfer receipts, loan agreements, and any other relevant documents that clearly demonstrate the origin of the funds.

2. Active vs. Passive Investment

For the E2 visa application, it is not enough for the investor to simply provide capital to a business and expect to qualify for the visa. The US government requires that the investor be actively involved in the day-to-day management of the business, as opposed to making a passive investment where the investor is merely a shareholder or financier without operational control.

a. Actively Managing the Business for E2 Eligibility

To qualify for an E2 visa, the applicant must show that they are coming to the US to develop and direct the enterprise. Passive investment, such as merely owning shares in a company or putting money into a business without direct involvement in its operations, will not meet the E2 visa requirements.

The E2 visa is designed for individuals who are directly managing or operating their US business. This means that the investor must play an active role in the business’s day-to-day operations, management, and decision-making. The investor should hold a significant position within the company, such as a director, president, or manager, and must exercise control over the business activities.

b. Demonstrating Active Involvement

The US consulate or embassy will want to see that the investor has a hands-on role in the business. This includes being actively involved in strategic planning, operational management, and financial oversight. Documentation may include business plans, organizational charts, and job descriptions that outline the investor’s role in the business.

c. Examples of Active Management

For example, an E2 visa applicant who owns a restaurant might be involved in managing the restaurant’s staff, overseeing the kitchen, or handling customer relations. An investor in a technology company may be responsible for product development, business strategy, or managing a team of employees.

d. Passive Investment Does Not Qualify

On the other hand, passive investment does not meet the criteria for the E2 visa. For example, simply investing in a real estate project or buying stock in a US corporation without any active involvement in the business’s operations would not qualify for an E2 visa. Similarly, providing capital to a business as a silent partner without any managerial or executive role would also not meet the requirements.

Section E: E2 Visa for Employees of Treaty Investor Businesses

The E2 Treaty Investor visa is not only available to business owners. Key employees can also apply for the E2 visa to come to the United States to work for the E2-qualified business. These employees must play an essential role in the business, contributing to its operation and success. 

1. E2 Employee Eligibility Criteria

For an employee to qualify for the E2 visa, they must meet certain criteria that demonstrate their connection to the E2 Treaty Investor business and their role within the company. E2 employees are typically expected to hold executive, managerial, or specialized roles that are essential to the business’s operations.

a. Executives

The E2 visa is designed to allow executives of the E2 business to come to the US to manage the business’s strategic direction and operations. Executives must hold a position that gives them authority to make significant decisions for the business, such as overseeing key departments or managing the overall operations of the company.

b. Managers

Managers are also eligible for the E2 visa as long as they have a critical role in supervising employees and overseeing the business’s day-to-day activities. The managerial position must involve significant responsibility and control over the company’s operations, such as managing a team, division, or other essential aspects of the business.

c. Essential Employees

An essential employee is someone who possesses specialized skills or knowledge critical to business operations. Essential employees do not need to hold an executive or managerial position, but they must have expertise or unique qualifications that make their role essential to the functioning of the business.

d. Specialized Skills

The employee’s skills must be highly specialized and not readily available in the US workforce. For example, this could include positions that require technical expertise, foreign language proficiency, or unique industry knowledge that directly benefits the E2 business.

e. Supporting the Investor’s Goals

Essential employees must be employed in a capacity that directly supports the goals and growth of the E2 business, helping it succeed in its operations and contributing to its long-term success.

f . Non-Marginal Roles

E2 employees must also be engaged in roles that are not considered marginal. This means the position should not simply exist to provide the employee with a livelihood but should contribute to the overall success and profitability of the business. The US authorities require that the employee’s role is vital to the operation of the business and will contribute to its sustained growth and profitability.

2. E2 Employee Application Process

Once the E2 Treaty Investor business is set up and registered, employees can apply for the E2 visa to join the business in the United States. The application process for E2 employees is similar to that of the investor but with additional steps specific to the employee’s role and qualifications.

Step 1: Gather Necessary Documentation

The first step in applying for an E2 employee visa is to ensure the employee has a detailed job description that outlines their role, responsibilities, and the specialized skills they bring to the business. This document should show why the employee is essential to the business.

The employee must also provide evidence of their relationship to the E2 Treaty Investor business. This may include the employment contract, a letter from the employer detailing the terms of the employment, and other documents that demonstrate the employee’s direct association with the E2 business.

The employee must show proof of their specialized skills and qualifications, which could include educational diplomas, certificates, professional licenses, or evidence of relevant work experience.

Step 2: Complete the DS-160 Form (Online Nonimmigrant Visa Application)

Similar to the investor, the employee must complete the DS-160 form, which is the standard online nonimmigrant visa application. The form collects personal information, visa-specific details, and information about the employee’s role within the business.

Step 3: Schedule an Interview at the US Embassy or Consulate

After submitting the DS-160 form, the employee will need to schedule an appointment for a visa interview at the US Embassy or Consulate in their home country. This is typically done through the embassy’s website or by contacting the visa application center.

During the interview, the applicant must provide the necessary documentation and answer questions about their role, qualifications, and the business’s operations. The purpose is to confirm that the employee qualifies for the E2 visa based on their essential role in the E2 business.

Step 4: Submit Required Documents for Visa Processing

Along with the DS-160 form and interview appointment, the employee will need to submit the following documents:

a. A valid passport with at least six months of validity beyond the intended stay in the US.
b. A recent passport-sized photograph.
c. Proof of employment with the E2 Treaty Investor business (employment contract, offer letter, etc.).
d. Evidence of the employee’s essential skills and role within the company (such as a resume, qualifications, and job description).
e. Documents supporting the E2 business’s legitimacy (such as proof of investment and business registration documents).

Step 5: Visa Decision and Approval

After the interview and submission of the required documents, the US consular officer will review the application and decide whether the employee qualifies for the E2 visa. If approved, the employee will be issued an E2 visa, allowing them to enter the US and work for the E2 business.

Section F: Common Mistakes to Avoid in the E2 Treaty Investor Process

The process of applying for an E2 Treaty Investor visa can be complex and requires careful attention to detail to ensure that your application is successful. Many applicants make mistakes that can delay or even jeopardize their chances of obtaining the visa.

[Insert table 6: Common E2 Visa Mistakes and How to Avoid Them]

1. Insufficient or Inadequate Investment Amount

One of the most common mistakes is failing to meet the E2 visa’s “substantial investment” requirement. Applicants sometimes invest too little to qualify or fail to provide sufficient documentation to prove that the investment is substantial enough to sustain the business.

To avert this, ensure that your investment meets the general guidelines for substantial investment. While there is no set minimum, a typical E2 investment is at least $100,000 or more. Make sure to document every aspect of the investment, including bank statements, proof of funds, contracts, and other financial records. You must also demonstrate that the funds are at risk and committed to the business.

2. Lack of Active Involvement in the Business

Applicants sometimes assume that a passive investment will qualify for the E2 visa. However, the E2 visa requires that the investor is actively involved in the management and operations of the business.

To qualify for the E2 visa, you must have a direct and active role in the business. Be sure to show evidence of your involvement in decision-making and day-to-day operations, including job descriptions, organizational charts, and other supporting documents that outline your role in the company.

3. Failure to Prove the Business is Non-Marginal

Some applicants fail to demonstrate that their business is non-marginal, meaning that it is not just a business that will provide a living for the investor and their family but also has the capacity to generate substantial income and contribute to the US economy.

Provide a detailed business plan that shows how your business will be profitable and sustainable over time. Include financial projections, market analysis, and job creation plans to demonstrate that the business will provide significant benefits to the US economy, including creating jobs and contributing to economic growth.

4. Incorrect or Incomplete Documentation

Another common error is submitting incomplete or incorrect documentation. This includes missing forms, inadequate proof of investment, or incomplete business registration documents.

Carefully review all application forms, documents, and requirements before submission. Double-check that you’ve included all necessary documents, such as your Articles of Incorporation or Articles of Organization, proof of investment, business plan, and proof of your role in the company. It’s also a good idea to consult with an immigration attorney or business expert to ensure all paperwork is accurate and complete.

5. Not Proving the Source of Funds

Applicants sometimes fail to prove the legal source of their investment funds. The US government requires that the funds used for the business investment must come from lawful sources and that this source be clearly documented.

Be prepared to provide detailed documentation that traces the origin of your investment. This may include bank statements, tax records, or proof of the sale of assets. If the funds come from a loan, you will need to provide documentation of the loan agreement and proof of repayment ability.

6. Misunderstanding the Role of E2 Employees

Many applicants mistakenly believe that any employee can qualify for an E2 visa. However, only executives, managers, and essential employees with specialized skills can be granted an E2 visa.

If you are applying for an E2 visa as an employee, ensure that you are in a position that qualifies under the US criteria. This includes having an executive or managerial role or possessing essential skills that are critical to the success of the E2 business. Provide detailed job descriptions and supporting documents that clearly outline the importance of your role.

7. Failing to Address the Visa Renewal Process

Some applicants forget to plan for the long-term management of their E2 visa, such as understanding the visa renewal process or the importance of maintaining business operations.

Understand that the E2 visa is typically granted for two years and can be renewed indefinitely as long as the business remains operational and meets the necessary criteria. Ensure that you are prepared to demonstrate ongoing involvement in the business and provide the necessary evidence to support the visa renewal.

8. Not Providing a Detailed Business Plan

A vague or incomplete business plan can result in a denial. The US consulate will scrutinize the business plan to ensure that the business is viable and has the potential for growth.

Develop a comprehensive business plan that outlines the business model, operational strategy, market research, and financial projections. Your business plan should also highlight job creation, growth potential, and how the business will contribute to the US economy.

Section G: Summary 

The E2 Treaty Investor visa allows foreign nationals from treaty countries to enter the US to invest in and manage a business. To qualify, investors must make a substantial investment in a U.S.-based business that is operational and not marginal. The business should be viable, with potential for growth, and capable of providing economic benefits such as creating jobs for US workers. Investors must also be actively involved in running the business, demonstrating hands-on management rather than a passive investment.

The process begins with setting up a legal business structure, such as an LLC or corporation, which meets all US requirements. After the business is registered, the investor must apply for the E2 visa through a US Embassy or Consulate, providing necessary documentation like a business plan, proof of investment, and evidence of the company’s ability to sustain and grow.

The E2 visa also extends to employees of the business, provided they hold key roles, such as executives or essential workers, and meet specific skill requirements. The visa is generally granted for two years but can be renewed indefinitely as long as the business remains operational, and the investor stays actively involved. With proper setup and documentation, the E2 visa offers a great opportunity for investors to grow their business in the US.

Section H: Need Assistance?

To optimize your prospects of making a successful E2 visa application, expert guidance should be sought to ensure the petition, documentation, business plan, and E2 cover letter are comprehensive and effective in aligning with the requirements of the visa category.

As specialist US immigration attorneys, we can guide you through the complexities of the E2 visa application process, including support with the E2 treaty investor business registration process. For advice on your E2 application, contact us.

Section I: FAQs

What is the E2 Treaty Investor Visa?

The E2 Treaty Investor visa is a nonimmigrant visa that allows foreign nationals from treaty countries to invest in and manage a US business. The visa enables investors and their employees to live and work in the US while overseeing and growing the business.

Who qualifies for an E2 visa?

To qualify for an E2 visa, applicants must be nationals of a country that has a commerce and navigation treaty with the US. They must also make a substantial investment in a US business and be actively involved in its management and operations.
What businesses qualify for E2 visa?
To qualify for an E2 visa, a business must be one in which the treaty investor has invested a substantial amount of capital. They must also be planning to develop and direct that business.
 
How much investment is required for E2 visa?
There’s no prescribed amount to apply for an E2 visa; rather the investment must be ‘substantial’. This will all depend on the nature of the business, the US consulate dealing with the application and the overall strength of the application.
 
What is an E-2 treaty investor?
An E-2 treaty investor is someone who is eligible to apply for an E-2 treaty investor visa. This is a visa that will allow the holder to oversee the running of an existing or new US business.
 
Can E2 visa holder work for another company?
Typically, an E2 visa holder, whether this be the principal investor or an E2 employee, must work only for the business in which the investment has been made, meaning they cannot usually work for any other company in the US.

How much investment is needed for an E2 visa?

While there is no specific minimum investment amount, the investment must be substantial enough to ensure the success of the specific business. The amount will be evaluated on a subjective basis, in light of the nature of the business, its sector, operating costs and other material factors.

Can employees apply for an E2 visa?

Employees who hold executive, managerial, or essential roles within the E2 business can apply for the E2 visa. The employee must demonstrate that their position is crucial to the business’s success and that they have specialized skills.

How long is the E2 visa valid?

The E2 visa is typically issued for a period of up to two years, but it can be renewed indefinitely as long as the business remains operational and the investor is actively involved in the business.

Can my family join me on an E2 visa?

The spouse and children under 21 years old of an E2 visa holder can apply to accompany them to the US as dependents. E2 visa spouses can also work once in the US.

Can I transition from an E2 visa to a green card?

The E2 visa does not provide a direct path to permanent residency. However, it is possible to transition to a green card through other pathways, such as employment-based immigration or family sponsorship. It’s recommended to consult with an immigration attorney for guidance.

Section J: Glossary 

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Section K: Additional Resources
US Citizenship and Immigration Services (USCIS) https://www.uscis.gov/working-in-the-united-states/temporary-workers/e-2-treaty-investors
Provides detailed guidelines on E-2 Treaty Investors, including eligibility criteria and application procedures.

US Department of State – Bureau of Consular Affairs https://travel.state.gov/content/travel/en/us-visas/visa-information-resources/fees/treaty.html] [Offers insights into E-2 visa requirements, application processes, and related topics.

US Embassy & Consulates in the United Kingdom https://uk.usembassy.gov/visas/treaty-trader-or-treaty-investor/overview/
Provides specific information for UK nationals regarding the E-2 visa application process.

US Department of State – Foreign Affairs Manual (FAM) https://fam.state.gov/FAM/09FAM/09FAM040209.html
Contains detailed regulations and policies on E-2 visas.

US Embassy & Consulates in the United Kingdom – Interview Documents for Employees of E-1 & E-2 Businesses
https://uk.usembassy.gov/visas/treaty-trader-or-treaty-investor/documents-required-interview-employees-e-1-e-2-investor-businesses/
Details the necessary documents for employees applying for E-1 or E-2 visas.