E-1/E-2 Visa

Understanding the E-2 Visa: A Strategic Pathway for Treaty Investors in the United States

The E-2 visa offers a unique opportunity for foreign entrepreneurs and investors from treaty countries to establish, manage, and grow a business in the United States. Unlike some other visa categories, the E-2 is renewable, does not require a specific minimum investment amount, and allows for long-term business development — making it an attractive option for those looking to contribute to the U.S. economy.

According to the U.S. Department of State, the E-2 visa program has seen strong growth in recent years:

• FY 2021: Approximately 33,000 E-2 visas issued.

• FY 2022: Approximately 45,000 E-2 visas issued.

• FY 2023: Approximately 52,308 E-2 visas issued.

• FY 2024: Approximately 54,364 E-2 visas issued.

This upward trend highlights the program’s resilience and growing popularity among international investors seeking a foothold in the U.S. economy. These figures are published annually by the Department of State in its Nonimmigrant Visa Statistics reports.

This in-depth guide walks you through the E-2 visa process — from eligibility and application requirements to key documentation, renewal strategies, and common pitfalls to avoid.

What is an E-2 treaty investor visa?

The E-2 visa is a nonimmigrant visa designed for nationals of countries that have treaties of commerce and navigation with the United States. It allows these individuals to enter the U.S. for the sole purpose of investing in and directing the operations of a bona fide U.S. business. Unlike immigrant visas, the E-2 visa does not lead directly to a Green Card, but it can be renewed indefinitely as long as the underlying business remains viable and continues to meet visa requirements.

Eligible applicants must show that they are coming to the U.S. to develop and direct a business in which they have made a significant investment. The business must be real and active — not just an idea or a passive investment like stocks or undeveloped land.

Only nationals from treaty countries are eligible for this visa. A complete list of treaty countries can be found on the U.S. Department of State website, but examples include the United Kingdom, Canada, Japan, Germany, and Australia.

What are the E-2 visa eligibility requirements?

To qualify for an E-2 visa, applicants must meet a strict set of criteria. First and foremost, they must be a national of a country that has an active treaty of commerce and navigation with the United States. U.S. permanent residents and dual citizens of non-treaty countries are not eligible.

Second, the applicant must have made — or be in the process of making — a substantial investment in a bona fide U.S. business. This means the funds must be committed and at risk for the purpose of generating a profit. Loans secured with the assets of the investment enterprise are not considered qualifying funds.

Additionally, the investor must demonstrate that they will develop and direct the enterprise. This requirement is typically met by showing at least 50% ownership of the business or possession of operational control through a managerial position or other corporate device.

Finally, the business itself must be more than marginal. In other words, it must have the capacity to generate more than enough income to provide a minimal living for the investor and their family. The business must also have the potential to contribute to the U.S. economy, such as through job creation or service delivery.

Understanding the “substantial investment” rule.

One of the key pillars of the E-2 visa is the requirement to make a “substantial” investment. While U.S. immigration law does not define a specific dollar amount, the investment must be proportionate to the cost of starting or purchasing the type of business in question.

For example, if you’re launching a small retail operation that costs $100,000 to open, investing $90,000 would likely be considered substantial. On the other hand, if you are opening a manufacturing plant that requires $1 million in capital, then a $100,000 investment would likely be deemed insufficient.

The funds must be committed to the business and “at risk,” meaning that they are subject to partial or total loss depending on the success of the enterprise. This rules out investments that are held in escrow or contingent upon visa approval. The investor must demonstrate that the funds have been spent or committed to specific startup costs — such as commercial leases, equipment purchases, marketing expenses, payroll obligations, or legal fees — before the visa can be issued.

Additionally, the investor must show a clear source of funds. These funds must be legally obtained through lawful means such as income, investment returns, sale of property, or inheritance. Documentary evidence, including bank statements, tax returns, wire transfer receipts, and sales contracts, should accompany the E-2 petition.

What business types qualify for E-2?

Not every type of enterprise qualifies for E-2 classification. The business must be an active, for-profit, and operational enterprise. This excludes speculative investments or passive income models such as purchasing a rental property or buying undeveloped land.

Qualifying businesses include:

• Retail stores.

• Franchises.

• Restaurants.

• Professional services firms (e.g., accounting, marketing, consulting).

• Manufacturing operations.

• Import/export companies.

Investors can either start a new business or purchase an existing U.S. enterprise. Buying into a franchise is a common approach because it provides a proven business model and may simplify the business plan process.

What matters most is that the business has a physical presence, operational infrastructure, and the potential to contribute meaningfully to the U.S. economy. The business must also meet all applicable licensing and regulatory requirements.

How to apply for an E-2 visa.

The application process for the E-2 visa varies slightly depending on whether you are applying from inside the United States or from abroad. However, the general steps are similar in either case.

Step 1: Determine your eligibility. Make sure you are a national of a treaty country and that you meet the investment, ownership, and control criteria.

Step 2: Prepare your investment. You should transfer the necessary funds to a U.S. business account and begin using those funds for startup or acquisition expenses. The investment must be irrevocably committed, meaning you must show that the funds are at risk of loss if the business fails.

Step 3: Compile supporting documentation. This includes your passport, proof of nationality, corporate records, business licenses, lease agreements, evidence of investment, and your comprehensive business plan. This documentation helps prove that your business is bona fide and that your investment is substantial.

Step 4: File the visa application.

• If you are outside the United States, you will complete Form DS-160 (Nonimmigrant Visa Application) and Form DS-156E (Nonimmigrant Treaty Trader/Investor Application). You must submit these forms through the U.S. embassy or consulate in your home country. You will also attend an in-person visa interview, during which you must demonstrate your qualifications and the legitimacy of your investment.

• If you are already in the U.S. under another valid nonimmigrant status, you may be eligible to change your status to E-2 by filing Form I-129 with U.S. Citizenship and Immigration Services (USCIS). This form includes a supplemental E classification form that details your investment and business operations.

Regardless of the method, you must include detailed documentation and a fully developed business plan that explains your investment, operations, hiring goals, and revenue projections.

What you should include in your E-2 business plan.

A strong business plan is a cornerstone of any successful E-2 visa petition. U.S. Citizenship and Immigration Services (USCIS) and Department of State officers reviewing your case want to see a clear, structured, and viable business strategy that supports your investment and demonstrates your enterprise is more than marginal.

Here’s what your E-2 business plan should include — and why each section matters:

Executive summary: Provide a high-level overview that outlines the type of business, location, the investor’s role, and long-term goals. This should serve as a snapshot of your business concept and emphasize what makes it sustainable.

Business description: Describe the company’s mission, industry, product or service offerings, and operational strategy. Include the business structure (e.g., LLC, S-Corp) and how it aligns with your business objectives.

Market analysis: Provide a breakdown of your target market, competitor landscape, and growth trends. Include any relevant statistics or research that show demand for your business in the U.S. and how your offering fills a gap or creates value.

Organizational structure and personnel plan: Outline your ownership stake, leadership role, and management responsibilities. Detail your hiring goals and how many U.S. jobs you anticipate creating, including job titles, estimated salaries, and a hiring timeline over the first five years.

Marketing strategy: Explain how you will attract and retain customers. This might include digital advertising, SEO, social media, direct outreach, or local partnerships. If your business is a franchise, describe any marketing support provided by the franchisor.

Financial projections: Include five-year revenue and expense forecasts, cash flow statements, and a break-even analysis. Make sure your numbers are realistic and tied to specific milestones. Explain your assumptions, such as pricing, customer volume, and anticipated growth.

Investment summary: List how your capital has been spent or will be allocated. Include expenditures such as rent, inventory, equipment, legal fees, and staffing. Provide documentation such as invoices, receipts, wire transfers, or bank statements to demonstrate that your funds are committed and “at risk.”

Supporting this section with hard data not only strengthens your case but also shows adjudicators that your business is more than an idea — it’s a fully developed, executable plan with long-term viability.

What is the E-2 visa validity and renewal process?

One of the most appealing aspects of the E-2 visa is that it can be renewed indefinitely — as long as the underlying business remains operational and continues to meet all E-2 requirements.

The initial validity period of an E-2 visa depends on the applicant’s country of nationality and the terms of the treaty with the United States. While some countries offer initial visas for as short as three months, others — such as Canada, Germany, and Japan — may receive five-year visas with multiple entries.

Before the visa expires, the applicant must apply for renewal, which includes submitting updated documentation to demonstrate that:

• The business is still active and profitable.

• The investment remains “at risk” and in the investor’s control.

• The enterprise continues to meet the marginality test.

• The investor still holds the qualifying nationality and role within the company.

To apply for renewal, E-2 visa holders must typically submit updated financials, employee records, tax filings, and a statement describing the enterprise’s ongoing viability. Renewal applications can be submitted either through a U.S. consulate abroad or, if applicable, through USCIS via a change or extension of status.

There is no limit to the number of renewals allowed, which makes the E-2 visa a viable long-term option for foreign investors committed to operating a successful U.S. business.