Part – II
There is a lot of ambiguity among E2 Treaty Investor Visa aspirants about the requirements and qualifying criteria for the program. In this segment I am addressing a few such issues with respect to the investment to qualify for E2 Treaty Investor Visa.
Availability, Access and Source of the Investment Amount is one of the most important factors in E2 Treaty Investor Category. Capital assets, savings, amounts gifted, funds inherited, equity in residential, commercial or ancestral property and other legal sources of funds can be considered as legal source of Investment Amount. It is mandatory requirement that the Investment Amount come from legal source and comes from outside of the United States of America. Proper supporting documentation is required to establish the source of Investment Amount as well as availability and accessibility of the Investment Amount and assets. If someone inherits a business it will not qualify as an investment under the E2 Treaty Investor Category.
If the Investment Amount is arranged as part of a loan amount it must meet the following conditions. (a) Commercial loans and mortgages which have business assets held as collateral do not qualify as Investment Amount. (b) Loans and mortgage which have personal assets held as collateral or unsecure loans taken on personal credit qualify as Investment Amount.
Furthermore, the applicant must have invested or should be in the process of making the investment. What needs to be understood is that the business must either be operational or on the brink of being operational. In majority of cases in the best interest of our clients we recommend that they to go with the option of “on the brink of making the business operational”.
Ideally a company, usually a LLC should be register in the United States and a Bank Account should be opened on the name of the company registered in the United States. Thereafter a Business Plan must be prepared that is elaborate, thorough and realistic with ground realities as applicable on date in the town/city where the business is to be established/purchased as well as all necessary preparations are required to be made for the business to be brought to the brink of being operational. Likewise lease of premises, contract negotiations, and examining real estate, etc. is to be done simultaneously as well. Purchasing an existing running successful business can be a good alternative option to setting up a new business. Escrow account arrangements must be put in place for the Investment Amount to be moved for closing deals under the Escrow Account facilitated arrangements contingent upon issuance of E2 Treaty Investor visa.
We do not recommend purchasing or establish a business before the applicant gets the E2 Treaty Investor visa thereby eliminating the risk of getting stuck with a business that can’t be operated or loss of significant funds in case the applicant is denied the E2 Treaty Investor Visa.
The Investment in E2 Treaty Investor Category must be made in a for profit business venture and cannot be a not for profit and non-profit establishment.
Immigration Insights Provided By Parvinder Singh Sandhu, Sr. Director WWICS Group