One of the key factors in securing an E-2 visa in the United States is making a substantial investment in a viable enterprise. However, what happens when the business you plan to invest in has low entry costs, including a minimal initial investment? In such cases, demonstrating the required substantiality of your investment can be challenging. In this blog, we'll explore what it means for a business to have low barriers to entry in the context of the E-2 visa and provide insights into how to address this challenge effectively.
Understanding Low Barriers to Entry
Low barriers to entry mean that it is relatively easy for new competitors to enter a specific market or industry. In such scenarios, businesses often require minimal initial capital and can be established quickly. While this may be advantageous for fostering competition and innovation, it can pose challenges for E-2 visa applicants, as they are required to demonstrate a significant financial commitment to qualify for the visa.
Addressing Low Barriers to Entry in E-2 Context
• Leverage Long-Term Leases: One way to address low barriers to entry is by committing to a long-term lease for the business premises. A lengthy lease demonstrates your dedication to the enterprise and can be counted towards your investment total for the E-2 visa. It signifies that you are genuinely invested in the business's success over an extended period. But more importantly, paying rent in advance (let’s say, 12 months) can help you meet the E-2 commitment requirement.
• Intellectual Property Investments: Investments in intangible assets such as patents and trademarks can be an effective strategy for bolstering the substantiality of your investment. These assets are critical for the protection and success of the business, and their financial commitment can enhance your E-2 visa application.
• Specialized Software: If specialized software is a requirement for operating the business, investing in such technology can be considered a substantial contribution. It not only enhances the value of your investment but also highlights your commitment to equipping the enterprise for success.
• Market Research and Reports: Investing in market research and comprehensive reports can help prove your dedication to understanding the market dynamics. These documents demonstrate a commitment to the business's viability and the effort you're putting into making informed decisions.
• Marketing and Web Presence: Investments in marketing strategies, including creating a corporate website, social media accounts, and other promotional tools, are crucial for business success in the digital age. Such investments can be counted towards your E-2 visa application, showcasing your commitment to establishing and growing the enterprise.
Low barriers to entry should not deter potential E-2 visa investors. By strategically leveraging various investments that contribute to the business's operation and success, applicants can effectively address this challenge. Long-term leases, intellectual property investments, specialized software, market research, and marketing efforts all demonstrate a substantial commitment to the enterprise. Navigating the E-2 visa application process can be complex, but with the right immigration attorney, investment strategy and documentation, investors can overcome low barriers to entry and realize their business aspirations in the United States.
With over 13 years of experience in the realm of business immigration, we have fostered strong and enduring relationships with some of the most distinguished immigration attorneys in the United States. These invaluable connections enable us to provide you with access to expert legal guidance throughout your E-2 visa application process. Moreover, we have created hundreds of market reports to support our clients’ ventures and also collaborated with professional marketing specialists who can assist you in effectively promoting your business venture and achieving your goals in the U.S. Our extensive network of legal and marketing professionals ensures that you receive comprehensive support at every stage of your E-2 visa application.
The information provided in this blog is intended solely for informational purposes. While we strive to offer accurate and up-to-date content, it should not be considered legal advice. Immigration laws and regulations are subject to change, and individual circumstances can vary widely. For personalized guidance and legal advice regarding your specific immigration situation, we strongly recommend consulting with a qualified immigration attorney who can provide you with tailored assistance and ensure compliance with current laws and regulations.
Visa Business Plans is led by Marco Scanu, a certified coach from the University of Miami with a globally-based practice coaching Fortune 1000 company executives, entrepreneurs, as well as professionals in four different continents. Mr. Scanu advises clients on turnaround strategies and crisis management.
Mr. Scanu received a bachelor’s degree in Business Administration (Cum Laude) from the University of Florida and an MBA in Management from Bocconi University in Milan, Italy. Mr. Scanu was also a Visiting Scholar at Michigan State University under the prestigious H. Humphrey Fellowship (Fulbright program) with a focus on Entrepreneurship, Venture Capital, and high-growth enterprises.
At present, Mr. Scanu is the managing partner and CEO at Visa Business Plans, a Miami-based boutique consulting firm providing attorneys and investors with business planning services in the areas of U.S. and Canadian immigration, SBA loans, and others.
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