Here are the most frequently asked questions received from clients wanting to invest in US businesses. Some of this information is discussed elsewhere in more detail.

1. Can I qualify for an E-2 visa?
2. How much do I have to invest?
3. Is the amount I invest the only factor for visa approval?
4. Do I have to find the business before I make a visa application?
5. Can I get an E-2 visa to start-up a new business?
6. What kind of businesses qualify?
7. Do franchises qualify for E-2 visas?
8. Must I have all the money available prior to the application being made?
9. Can my spouse and I both get visas to work in the business or elsewhere?
10. Can I get a loan from a friend or relative for investment purposes?
11. How do I go about applying for an E-2 visa?
12. How long does the US Embassy in London take to adjudicate applications?
13. What are my chances of success?
14. What happens to the funds I have invested if the application is refused?
15. What happens if I later sell my business?
16. Can my children and elderly parents come too?
17. What if I have a criminal conviction?
18. Will I ever qualify for a Green Card?
19. Is the E-2 my only option?
20. How much does it cost?

1. Can I qualify for an E-2 visa? Answer: As long as you are a citizen of one of the over seventy countries which has the required investment treaty with the United States you can apply for an E-2 visa. For example, British, Irish, Pakistani and Bangladeshi citizens can apply. Indian, South African and Tanzanian citizens cannot. For other nationalities, please ask. Your spouse's nationality does not matter as he/she can obtain an E-2 visa as a dependent regardless. If you are a UK citizen, you must be able to prove you are also a resident in the UK.

   

2. How much do I have to invest? Answer: While there is no minimum amount, it is currently difficult to make a qualifying investment with less than $100,000 to $150,000, but it may be possible. Generally the larger the investment the stronger the case. Note that for small businesses, you will be expected to have invested the great majority of the purchase price in cash. For further details, see How Much to Invest?

   

3. Is the amount I invest the only factor for visa approval? Answer: Definitely not. The investment amount is only one factor. Equally important are the profitability of the business and its contribution to the local economy, normally through its employment of US workers. It should generate more than enough income to support you and your family, and employ perhaps a couple of US workers. For more information, see Business Profitability and Employee Requirements.

   

4. Do I have to find the business before I make a visa application? Answer: Yes, you do. The application is based on the specific business in which you are investing. If you are buying an existing business, this has to be identified prior to an E-2 visa application being made, and a purchase contract signed. It is always advisable to have a clause in the contract stating that the purchase is subject to you obtaining an E-2 visa.

   

5. Can I get an E-2 visa to start-up a new business? Answer: Yes you can. You will need to show you have made the various expenditures required to set up the business before the visa application is approved. The American Embassy will have to be convinced that your business will be profitable and employ US workers. Unless you have a good track record in business in the UK or have firm evidence of prospective business customers in the United States, start-up business applications may be difficult to get approved.

   

6. What kind of businesses qualify? Answer: All kinds of businesses can qualify. What is critical is that the business generates more than enough income to support you and your family and creates employment. Choose a business you can run effectively and will enjoy! Remember, though, that there are restrictions on financing. For example, if you want to buy a motel with a small down payment, you could run into difficulties.

   

7. Do franchises qualify for E-2 visas? Answer: Yes they can. The same requirements apply for a franchised business as any other, whether it is a new franchise or a franchised business already in operation.

   

8. Must I have all the money available prior to the application being made? Answer: Yes, you do. The Embassy will want to see funds deposited in escrow (trust) in the United States for the business purchase. This demonstrates that the funds are irrevocably committed to the business purchase, subject to visa issuance. From the visa perspective, it is prudent to deposit the full amount in an escrow account. Arranging escrow deposits is a relatively straightforward matter.

   

9. Can my spouse and I both get visas to work in the business? Answer: Embassy adjudication policies have varied over the years. Usually, as long as each owns 50%, it is possible for a married couple or a couple who live together both to obtain E-2 investor visas to work in the E-2 company. A parent and adult child, or two unrelated business partners may also be able to obtain work visas as joint 50-50 investors. This is at the discretion of the visa officer.

   If you decide to form a 50% partnership with an American citizen, only one British investor would obtain an E-2 investor visa to work in the business.

   Under legislation approved in 2002, a spouse who obtains an E-2 dependent's visa rather than an E-2 investor visa can apply to USCIS (US Citizenship and Immigration Services) for an Employment Authorisation Document (EAD). Once the spouse is in possession of an EAD, he/she can work anywhere as long as the principal E-2 investor remains in valid E-2 status. The E-2 investor, however, can only work in the E-2 company.

   

10. Can I get a loan from a friend or relative for investment purposes? Answer: Yes, you can. Any loans not secured by the business assets are permissible. There are restrictions, however, on loans secured by the business assets.

    

11. How do I go about applying for an E-2 visa? Answer: Your visa application must be submitted to the American Embassy in London if you normally live in the UK. The application will be based on a particular business, whether new or existing. If you are establishing a new business you must document that the necessary expenditures have already been made. If buying an existing business, you must provide a signed purchase contract. A significant number of documents are required for an application and it is quite difficult to do yourself. As well as submitting the necessary forms, each E-2 requirement has to be thoroughly documented with supporting paperwork, and a comprehensive explanatory letter enclosed.

    

12. How long does the US Embassy in London take to adjudicate applications? Answer: Current waiting times for your application to be adjudicated is approximately 32 weeks. If the Embassy requests additional information, then it takes longer.

    

13. What are my chances of success? Answer: Your chances of success depend on the careful selection of your business and preparation of your application. If you choose a business which meets all the E-2 visa requirements and the application is thoroughly documented and explained, there is every reason to suppose the case will be approved.

    

14. What happens to the funds I have invested if the application is refused? Answer: If you have a contingency clause in the purchase contract, stating that the purchase is subject to you obtaining an E-2 visa, the funds in escrow should be refunded to you under normal circumstances. You should, however, check precisely what is stated on the purchase contract.

    

15. What happens if I later sell my business? Answer: If you sell the business without previously buying another qualifying business, you are no longer eligible to remain in E-2 status. You must either leave the United States, or apply to change to a different status, for which you do qualify.

    

16. Can my children and elderly parents come too? Answer: Yes. Children under 21 receive E-2 dependents' visas. On reaching 21, to remain in the US, they must change to a different status, independent of their parents. This can be, for example, based on full-time student status, employment, or marriage to a US citizen. Elderly dependents can normally come with you on B-2 tourist visas, and remain with you in that status as long as you remain in valid E-2 status, and they continue to be considered temporary visitors.

    

17. What if I have a criminal conviction? Answer: If you have a conviction this has to be stated in the visa application and you will need to submit a UK police clearance as well as a Memorandum of Conviction obtained from the Court in question. Visa eligibility will depend on the nature of the conviction. Minor offences are not likely to cause a problem.

    

18. Will I ever qualify for a Green Card? Answer: That will depend. There are a number of routes to a Green Card. The E-2 visa does not, in itself, lead to a Green Card (nor does any other non-immigrant visa). However the E-2 visa does not close options either. For instance if you have a business in the UK which continues to trade once you have moved to the US, you may qualify for a Green Card as a Multinational Manager. Alternatively, if you have a close relative in the US, they may be able to sponsor you. If you invest $500,000 - $1 million in certain types of business you may be able to get a Green Card by that route - see E-2 visa requirements section for further discussion.

    

19. Is the E-2 my only option? Answer: If you do not have a business in the UK or in another foreign country, and want to buy a business in the US, the E-2 is likely to be your only option, unless you have at least $500,000 to invest. If you do have a UK (or foreign) business, you may consider also the L-1 option - see Which Visa?

    

20. How much does it cost? Answer: Fees for an E-2 visa application may vary a little depending on the nature of the business and the circumstances of the application. Generally speaking, our fees are quite competitive. We are happy to provide an individual quote.