We recently received an E-2 investor visa approval at the U.S. Consulate in Toronto for a Canadian national who invested in an existing gas station and convenience store business in Florida.
The applicant acquired the existing business and will serve as the owner and Chief Executive Officer, overseeing the company’s operations and future growth.
The E-2 investor visa is available to nationals of treaty countries, including Canada, who make a substantial investment in an active U.S. business and enter the United States to develop and direct it. In Canada, first-time E-2 applications are submitted to the U.S. Consulate in Toronto.
This case involved the purchase of an existing business whose prior financial performance, as reflected in the seller’s tax returns, was not particularly strong.
That matters because an E-2 business must be more than marginal. It needs the present or future capacity to generate more than a minimal living for the investor and their family.
When an investor buys an established company, its tax returns are a key set of documents for assessing that capacity. A profitable history with employees on the payroll makes the showing more straightforward. A weaker history calls for more explanation.
As part of the E-2 application, we focused on explaining why the business nevertheless had meaningful growth potential under the new owner’s management. We were able to present a persuasive case that the historical performance of the business did not necessarily reflect its future potential.
Every case turns on its own facts. Here, the seller’s results were addressed directly in the application rather than left unexplained.
If you are considering buying an existing U.S. business as the basis for an E-2 visa, schedule a consultation with our team to discuss your case.
