This blog post is the direct result of few a emails I have received in last few months all of which were about investment visa process. At first, I didn’t bother to reply as I am not an expert nor an immigration attorney. But after reading the last email, I have decided to investigate and learn what I can about all types of investment visas. The last email I received was from a gentleman in Europe who told me a sad story about how he already spent over $75,000 just by making trips to the US and finding businesses after businesses that looks great on paper but in reality they all were truly bad and lost money. He also told me how he almost lost $300,000 when he put a down payment on a business and later found out the seller took similar deposits from one more international investor!

I am glad he found out and with help from an attorney he did recover most of his funds, so he, in my opinion, was ‘saved by the bell’ so to speak. But I am sure not everyone is as lucky as he is, I am sure there are horror stories out there where people lost their life savings by dealing with dishonest people. It happens more often than we know.

I wanted to find out what I can about all these visas, and I decided I wanted to share what I gather with you so you can make an educated decision beforehand and at least know what is right and what is not. I also wanted to mention some safety measure and precaution that all of you can practice when trying for an investment category visa in the USA.

Here I break the whole investment visa process down to this these 7 discussion points,

What is an investment visa
What are the different types of investment visas
Which one is more suitable for gas station business
What are the requirements
How to apply
Do these visas help you get permanent residency in the US
Safety measures you can take to Protect your investment

1. What is an Investment Visa

Investment visa is a type of visa which allows you to enter and stay in the US legally while you invest your money in a business. Unlike business and tourist visas where you are allowed to enter but not work in the US. Nor you are allowed to stay for longer than 6 months. But through investment visas, you are allowed to bring your family and stay, work and in some cases become a legal resident of the US if you fulfill all your required obligation and criteria of the visa.

One word of caution before we go any further, as you know I am not an attorney, not a lawyer, I am here do provide some basic information about various investment related visas and how they work. I am not offering you legal advice here, nor am I qualified to offer you legal advice. So please before you act on anything we talk about here today, please ask an immigration attorney for up to date advice. I know of a few immigration law firms, I will link their site here, but again just so you know I do not have any affiliation with any of them, but while doing research online I noticed a few names came up over and over, so I have decided to list them here for your benefit(look at the resource section of this post at the end).

2. What are the differences between the types of investment visas

EB-5 Visa

First, there is EB-5, this is the oldest of them all, and US Congress passed EB-5 into law back in the early 90 to bring foreign investment to the country. EB-5 stands for employment-based fifth preference visa.

The requirements are simple for this visa

Make the necessary investment in a commercial enterprise in the United States; and
Plan to create or preserve 10 permanent full-time jobs for qualified U.S. workers.
Required investment is between $500,000 to $1,000.000 depending on the geographic location of the US.Under this program you can bring your spouse and all children under 21 with you and they will receive the same legal status as you. If you and your family have the funds this, in my opinion, is the best option for anyone looking to migrate to the US legally.
Just remember there is a quota of 10,000 for this visa each year and I believe there is also a quota for each country as well, until recently this quota was never filled but lately as many people are applying for China, Brazil, India that now there might be a waiting list but again it is a good idea to check with USCIS for the most updated information.
Under this program, you get the green card as soon as you enter the US, though it will be a 2 year conditional green card but at least it is a green card and not a visa. If you stay and fulfill the requirements your green card then becomes permanent after 2 years.

E-2 Visa

Also known as treaty investor visa.

The E-2 Investor Visa allows an individual to enter and work in the US based on investment you will be controlling, while inside the United States. This visa must generally be renewed every two years, but there is no limit to how many times one can renew. The investment must be “substantial.” Investor visas are available only to treaty countries which include countries like Albania and Senegal, but do not include Brazil, Russia, India and China (BRIC Countries).

In this visa, you can choose to start a new company or business or buy an existing one. The investment must be large enough to start and operate the business. The amount of investment varies on the type of business. The investment will not be considered substantial if it is not large enough to capitalize the venture. The USCIS will use an ‘Inverted Sliding Scale’ to figure out whether the investment is substantial in proportion to the overall cost of the business or not.

E-2 investor visa qualification requirements:

A person or persons with citizenship of a country having a qualifying investment treaty with the U.S. must own at least 50% of the shares of the U.S. Company; such person or persons may not have permanent resident status or reside in the U.S. under a visa other than the E-2 visa.
The investment must be substantial and must be made with personal funds (or with a loan secured by property that belongs to the investor personally). While the regulations do not state a specific minimum investment, the investment must be sufficient to establish a profitable business with development and expansion potential.
The company must contribute to the local economy to an extent that is more than marginal, i.e., the investor cannot invest solely for the purpose of earning a living. Beyond paying the investor a living salary, the business must employ U.S. workers and produce a profit.
Applicants must show that they have work experience and credentials that qualify them to perform the job that the company is offering them, and the investor must intend to enter the U.S. solely in order to manage and direct the business.

Additional E-2 investor visa-related information:

The spouse of an E-2 visa holder may obtain a work authorization to work for any employer in any type of job.

The business activity of the investment company can be changed or expanded into new fields of business.
Presently, there is no limit to the number of times an E-2 visa can be renewed, as long as the business continues to qualify.

The E-2 visa is generally applied for at the U.S. consulate in the applicant’s country of residence. E-2 visas are issued for the period of time permitted under the treaty with that country. If the applicant is in the U.S. in valid status, he/she may also apply for a change to E-2 status with USCIS, but, the status is lost when the applicant travels outside the U.S., and he/she must re-enter with a visa.

Benefits of E-2 Visa:

Less investment amount than EB-5
No annual cap or quota on the number visa
This visa covers the spouse and all children under 21
Can be renewed unlimited time as long as the business is in good running condition
Eventually, can apply for permanent residency status

Countries that Maintain Treaties of Navigation and Commerce with the United States for E2 Visa Purposes

Albania, Argentina, Armenia, Australia, Austria, Azerbaijan, Bahrain, Bangladesh, Belgium, Bolivia, Bosnia & Herzegovina, Bulgaria, Cameroon, Canada, Chile, China (Taiwan), Colombia, Congo (Brazzaville), Congo (Kinshasa), Costa Rica, Croatia, Czech Republic, Ecuador, Egypt, Estonia, Ethiopia, Finland, France, Georgia, Germany, Grenada, Honduras, Iran, Ireland, Italy, Jamaica, Japan, Jordan, Kazakhstan, Kyrgyzstan, Latvia, Liberia, Lithuania, Luxembourg, Macedonia, Mexico, Moldova, Mongolia, Morocco, Netherlands, Norway, Oman, Pakistan, Panama, Paraguay, Philippines, Poland, Romania, Senegal, Singapore, Slovak Republic, Slovenia, South Korea, Spain, Sri Lanka, Suriname, Sweden, Switzerland, Thailand, Togo, Trinidad & Tobago, Tunisia, Turkey, Ukraine, United Kingdom and Yugoslavia.

How to Apply

First, you need to find a good immigration attorney who has vast experience in investment visa petition process then you can find a suitable business that fits your budget. Make necessary deals with the seller, or partners, draw up all legal documents through an attorney, transfer funds to an escrow account. Do the closing, start running your business actively and then gather up documents and then apply for the visa. It is usually a good idea to have an independent 3rd party person who can help you avoid disaster, scams and fraud especially since it is a rather large purchase and you don’t know the seller or anyone else involved in the transaction.

Make sure to provide above and beyond what is usually asked of you to submit as proof

Here are some documents you can prepare or gather

All necessary forms DS-156 and DS 156E

valid Passport
One 2×2 photograph
Original I-94 (arrival-departure record)
Visa Fee

A detailed letter written in company’s letterhead and signed by the designated office of the company explaining the nature of the business, how the applicant’s investment spent and what his or her daily duties and responsibilities are

The incorporation of the business in the U.S.
The ownership of the company
the capitalization of the business
the business plan
Information on business activities such as marketing documentation, sales contracts, and customer lists, etc.
Lease or property ownership documentation
Financial statements and tax return for the U.S. business

IRS issued Employer Identification number or the EIN number
All copies of business licenses
Escrow documents
Proof of all funds transferred to the US
Payroll summaries including employment tax filings
Company Bank Statements
Company Utility bills
Any bill of sale or purchase agreement
Valuation of the business assets
Any foreign tax returns
Foreign bank statements
Property ownership documents foreign or US
Loan or Mortgage documents US or foreign

L-1 Visa

Also known as intracompany transfer, the maximum you are allowed to stay under this visa is 7 years.

L-1 visas are available to employees of an international company with offices in both the United States and abroad. The visa allows such foreign workers to relocate to the corporation’s US office after having worked abroad for the company for at least one continuous year within the previous three before admission in the US. The US and non-US employers must be related in one of four ways: parent and subsidiary; branch and headquarters; sister companies owned by a mutual parent; or ‘affiliates’ owned by the same or people in approximately the same percentages. The L-1 classification also enables a foreign company which does not yet have an affiliated U.S. office to send an employee to the United States to help establish one, with additional requirements

So as you can see L-1 is not for everyone and for our discussion, this is not a visa category most of you will be interested in. But keep in mind most L-1A visa holders can apply for green card in EB1C category and do not have to file for any labor certification like most H-1B applicants, not to mention the green card can be approved in less than a year in most cases.

Which Visa is More Suitable For Gas Station Business

Depending on your funds, you can either apply for EB-5 or E-2. Now as i just mentioned EB-5 requires a large capital investments but benefit is you arrive with an immigrant status and get your conditional 2 years green card as soon as you arrive in the US, and that includes all your family members too but with E-2 visa it is a visa, not a green card, but you are allowed to work and live with your family. Not to mention the investment amount is much smaller.

Do these visas help you get permanent residency in the US

With EB-5 visa, there is no delay, as I mentioned you arrive with a residency visa and as soon as you arrive, you get your residency card, this is by far the fastest way to get the Green card, but it also requires the biggest investments. If you are interested in this category, it is best to find out what geographic location offers the least amount of investment. Typically rural areas and smaller cities and States will require the least investment capital, but it is worth checking into it.

With E-2 visa, even though as long your business is profitable and operation you can continue to stay in the US and keep renewing your visa, but there is not a clear straight path to a green card for the most part. Now say your business has grown, and now you are employing 10 or more people in your business then you can convert your visa from EB-5 status and thus turn that into a green card easily. For this to happen there is a form I-508 that you have to fill out and submit. You can always apply for a family based green card petition at any time while you are under E-2 visa in the event you have a family member that can file a petition for you.

You should also be aware of the concept of “dual intent” in E-2 status, like other employment-based nonimmigrant statuses, where you have been allowed to enter the U.S. on a temporary basis. The law requires that, as an E-2 nonimmigrant visa holder, you must return to your country of origin after your work is complete, and you must not intend to stay permanently. However, here is the catch the law also says that E-2 nonimmigrant visa holders can have dual intent, meaning that you can simultaneously intend to leave after your E-2 work in the U.S. complete and or intend to seek permanent residence and stay in the United States.

Once you are in business, you can hire an attorney who can then process your application for an adjustment of status where you will be applying for a status change from nonimmigrant visa to an immigrant status.

While under E-2 Visa you can also try to find an employer who is willing to apply for employment-based immigration petition for you and your family. Dual intent doctrine will allow you to remain in the U.S. as an E-2 while your prospective employer goes through the petition process. But be aware that typically employment based immigration is a rather lengthy process as you have to go through and get approved for a labor certification from US Department of Labor.

Here is my take, if you have limited funds and want to move to the US and willing to work hard in your own business than E-2 is the way to go. Yes it may take a few years to get permanent residency but not having the green card will not affect you in any which way, as you will be allowed to work, travel and do everything else as any US citizen does. Just remember one step at a time so be patient and follow the rules and things will work out for the best.

7 Safety Measures to Protect your Investment

First research and study everything you can find about investment visa process and requirements
Find an hire or speak to a qualified and reputable immigration attorney who is experienced in investment visa
Contact only licensed local and nationwide business brokers
If possible employ or seek advice from a certified accountant or business consultant, who is knowledgeable about your line of business that can analyze sales data and point out discrepancies if there are any.
Use escrow account to transfer funds
Carefully analyze sales and financial reports to make sure they will fulfill the visa requirements.
Do a thorough due diligence before signing a purchase contract or writing any checks to the seller