E-2 Visa Requirements – Who Qualifies and How Much to Invest
An E-2 visa goes to a national of a treaty country who has invested their own money in an operating US business and runs it. There is no fixed amount – the consular officer decides whether the investment is enough for that particular business and whether it will earn more than a modest living for a family. Below, the requirements are covered in order: citizenship, money, business, your role, and what happens after the visa. If you want a lawyer to handle the case, see our E-2 visa service.
The five E-2 requirements at a glance
| Requirement | What is checked | Common mistake |
|---|---|---|
| Citizenship | a treaty with the US and at least 50% ownership by its nationals | shares held by a relative of another nationality |
| Investment | your own money, committed and at risk | a loan secured by the company, cash sitting in the account |
| Business | real, operating and not marginal | passive real estate, a business that only supports you |
| Your role | you develop and direct it | 40% ownership with no control |
| Intent | you will leave when status ends | mixing it up with a green card at the interview |
The rules are in 8 CFR 214.2(e) and on the USCIS E-2 page. The officer checks them in your documents and at the interview, so a strong point in one area does not make up for a weak one in another.
How to check citizenship
Citizenship comes first – if the answer is no, nothing else matters.
Find your country. The State Department keeps a list of treaty countries with the date each treaty took effect. E-1 (traders) and E-2 (investors) are listed separately. Canada has had both since January 1, 1994.
Count the ownership. The US company must be at least 50% owned by nationals of the same treaty country. If two partners of different nationalities each own 50%, only the one from a treaty country can get E-2.
Dual citizens. The treaty-country nationality is what counts, and you apply on that passport.
Family. Your spouse and children under 21 do not need treaty nationality – they get status as the investor’s dependents.
How much you need to invest for E-2
The law sets no minimum. The regulation asks for a “substantial” investment and defines it three ways: substantial compared with the cost of the business, enough to show you are financially committed to its success, and enough for the business to operate. The cheaper the business, the larger the share of its cost you are expected to cover yourself.
An example. Opening a coffee shop with build-out, equipment and a cash cushion for the first months costs about $150,000. If $140,000 of that is your own money, that is a strong position. If you put in $50,000 and borrowed the rest, the officer will ask whose risk it really is. A small software company with a lease and equipment can work with less, if the hiring plan looks real.
What counts: rent and build-out, equipment, inventory, payroll before opening, the purchase of an existing business. What does not: cash sitting in an account with no link to the business, a loan secured by the company’s own assets, a home for yourself.
The money must be yours and lawful – salary, dividends, the sale of a home or a business, a gift backed by the donor’s records. Every transfer from the source to the company account is documented with statements.
What kind of business qualifies
The business has to operate – produce goods or provide services for profit. Passive investments do not qualify: a rental condo, a stock portfolio, land held for future development.
It also cannot be marginal. A marginal business only earns a minimal living for your family. If it does not earn more yet, you show that within five years of starting operations it will, or that it will make a real economic contribution, for example by hiring US workers. That is why a business plan with hiring projections is one of the key documents.
A franchise works too, as long as you run it rather than just collect income.
Want to check your business against E-2 rules?
Describe the business and the amount in a message – a lawyer will tell you how it looks to a consular officer.
Pros and cons of the E-2 visa
People pick E-2 for its flexibility, but it has limits worth knowing before you invest.
Pros
- no minimum amount
- unlimited renewals
- your spouse works by status
- children attend US schools
- you can buy an existing business
Cons
- treaty nationals only
- no green card
- status depends on the business – close it and status ends
- the money is at risk
- children lose dependent status at 21
How to apply and how long the visa lasts
From abroad you apply at a consulate: the DS-160 with its E visa section, a document package to that post’s rules, and an interview. Canadians apply at a US consulate in Canada. The E visa fee is $315. If you are already in the US in another status, you can file Form I-129 for a change of status – $1,015 plus the $600 Asylum Program Fee, less for small employers.
Each time you enter, CBP admits you for up to 2 years. You can extend as many times as you like while the business still meets the requirements.
The visa and your status are different things
The visa is an entry document, and its validity and number of entries depend on your citizenship – see the State Department’s reciprocity tables. You can stay past the visa’s expiry date while your status is valid, but you cannot re-enter on an expired visa.
Can an E-2 lead to a green card?
E-2 is a nonimmigrant visa, and you show that you intend to leave when your status ends. Unlike L-1, it has no dual intent.
The law does not stop you from getting a green card later on another basis – EB-5 (if the investment grows to $800,000 or $1,050,000 and creates 10 jobs), an employer or marriage to a US citizen. The catch is that while an immigrant petition is pending, renewing E-2 and traveling on it gets harder, because the officer may question your intent. Plan the move ahead. All routes side by side are on the US investor visa page.
Before you invest, check three things in this order – citizenship, the history of the money and whether the business is marginal. If the answer is no at any step, the amount will not save the case.
E-2 requirements FAQ
What counts as a substantial investment for E-2?
There is no single figure. It is weighed against the cost of your business: for an inexpensive business you are expected to cover most of it yourself, for an expensive one the total amount matters too.
Can I invest borrowed money?
A personal loan secured by your own assets counts if you are personally liable for it. A loan secured by the company’s own assets does not.
Does a franchise qualify?
Yes, if you run the location, invested a substantial amount and the business is not marginal. The franchise agreement becomes part of the evidence.
What are the E-2 requirements for Canadian citizens?
The same as for any treaty national – Canadian citizenship, at least 50% Canadian ownership, a substantial at-risk investment and a business that is not marginal. Canadians cannot get E-2 at the border and apply for the visa at a US consulate.
What happens if the business closes?
E-2 status rests on an operating business. If it closes or is sold, the basis for your status is gone, and you need to leave or change to another status.
Related articles
- L-1A and L-1B visa requirements, timeline and green card
- How an Israeli citizen can move to the USA
- US investor visa – E-2, EB-5 and L-1 compared
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