A visa category that is not so well known is the E Category (Treaty Trader & Treaty Investor).
E-1 and E-2 visas can be used by foreign nationals (either an owner or an employee), whose countries have a trading agreement with the USA. It is important to remember that these persons must have the same nationality as the company.
It is important in determining which of your employees can make use of the E visa. Persons who do not have the same nationality as the company do not qualify for the E category.
A rough distinction is made between companies whose worldwide trade with the USA accounts for more than 50% of their worldwide total turnover – which can also be imports from the USA. These generally apply for an E-1 visa (Treaty trader), although the total number of E-1 companies is significantly lower than those qualifying for E-2 (hardly any company predominantly makes its main turnover with only one country in the global market).
E-2 companies are those who have invested considerable capital in the US (i.e.in / through a branch or production facility) or are in the process of implementing the investment. A rule of thumb: the more an investment has been made irreversibly at the time of the application and more jobs have been created for Americans, the more likely it is to qualify for an E-2 status. Companies that are still in the planning stage, and have only rented offices and advertised vacancies, do not receive E-2 status. On the other hand, companies whose investments have been ongoing on for some time, can be recognized as E-2 eligible. The deciding factor is that an investment has been made, not when.
E-2 Registration of the company
Technically, the first step is that an application for first-time registration is submitted. In the course of the procedure, which can take up to 8 weeks (no express process possible), documents of the company are requested regarding the investment, business activities and recruitment efforts of US personnel.
Especially in the latter case, it is not enough to submit only job advertisements and / or evidence of contracts with US recruiters. A large part of the US jobs must already exist at the time of application, with no minimum number being required. Here the following guideline applies: the more, the better the chances. Depending on the business structure, the investment activities are proven by means of purchase contracts, invoice documents, bank documents, letter of understanding and similar documents. A business plan should exist.
Both E-1 and E-2 visa holders receive a visa issued for 5 years. The maximum permitted stay per entry is 2 years, meaning that it may be possible to stay for 5 years visa validity.
At the end of the 5 years, visitors of both categories can apply for a re-issuance. The requirement is that the employer has successfully received a renewal of its E-1 or E-2 status. To this end, a bureaucratic process has been developed which much more simplified than the original application. This procedure is mainly based on documents in the US, such as company tax assessments, payroll, business plan and evidence of the continuation of the US business. Generally this decreases the processing time. There are no ceilings like other work visas. The visa can theoretically be renewed indefinitely as long as the foreigner maintains the intention to leave the US when his / her status expires or is terminated.
Essentially the following main criteria have to be fulfilled with these two categories:
– The existence of a trade agreement between the United States and the country of the company or investor, under which E status is applied for;
– The company or the investor must be the majority owner of the US company (at least 50%) or exercise actual control (technically, this (US) company receives E status, not the foreign company).
– The visa applicant must have the same nationality as the owner of the sending company.
Advantages of the E visa for a transfer of personnel:
Employees of an E-qualified company do not have to have worked a minimum amount of time for the foreign company. The qualifications that they have is the decisive factor. This allows your company to hire qualified personnel to work outside the US. Employment contracts can be made in the foreign country as well as in the USA in order to meet the E-requirements.
E visas are also suitable for qualified but non-academic personnel being assigned to the USA. An advantage over work visas that often require a Bachelor’s degree and an application to US authorities. In some cases, this can also cover long-term assignments for technicians who otherwise would face the limitations of the B-1 visa. The requirement is that the E stipulations for the employee are met. The theoretically unlimited possibility of extending the E visa provides for security in the planning process. Especially in the case of companies which are traditionally very active in the USA and have regularly carry our assignments, for various companies, in the USA, this can be a major planning and competitive advantage over other foreign competitors..
The time component: E-visas are often received within days after the interview date. No application for work authorization in the USA is necessary.
Spouses of E visa holders receive a standard work permit in the USA, which is not dependent on the number of work visas available. With it you can apply and work with any US company or the branch of the foreign company. This relaxes an often complex emotional family situation, which can occur with expats in longer-term assignments.
You have general questions or about a specific case, or you need our assistance? We look forward to your email: mvictor@usvisaconsulting.de