Several commentators have juxtaposed Germany’s timeline of 6 weeks to set up a business with other jurisdictions that have more friendly processes. In the US, depending on circumstances, businesses can be established within the same day.

But while businesses can be formed quickly in the US by non-citizen, non-residents, (alongside other advantages), running that business and drawing any income from it will trigger immigration considerations. For founders and entrepreneurs there are several business-based immigration options to the US that may be relevant, including the E-2, L, and H-1B nonimmigrant visas, the EB-5 immigrant visa and the International Entrepreneur Rule.

The E-2 Treaty trader visa is a nonimmigrant visa available to nationals of countries with which the US has a treaty and requires a “substantial investment” in a US-based enterprise, with no specific dollar amount specified (rather “a serious commitment” must be clear). That option can be contrast with the immigrant-track EB-2, which in some instances may be appropriate for advanced degree holders setting up businesses that are in the national interest of the US, or the EB-5 investor program, requiring a roughly $1 million investment in a US business that creates at least 10 jobs. A newer and less-utilized option that may gain traction or alternatively face rollbacks under the new presidential administration is the International Entrepreneur Rule (IER) which can allow for an individual to gain employment authorization in the US (to work for their start-up) if they can demonstrate providing a significant public benefit through their business venture. Establishing a US-office of a European start-up and transferring an employee by way of a L-visa may be an option as well. And finally, the H1-B visa program enables foreign nationals to have work authorization in the US for a sponsoring employer, which could in some cases be the start-up itself.

To be completely clear, unlike setting up a business, none of these immigration avenues are particularly fast or without their own complications. Gray Whale Law can work with start-ups, entrepreneurs and business leaders to strategize and evaluate options, including expected timelines and impacts for family members. We are also ready to make referrals for support with establishing a business.

Schedule a consultation today.