The Ultimate Guide to Entrepreneurship on H1B Visa
The American Dream of starting a business is not just restricted to citizens or residents, but also extends to foreign nationals living in the US. The H1B visa is a popular option available to these foreign nationals, which allows them to live and work in the US for a specific period. Many H1B visa holders consider entrepreneurship as an alternate option to permanent residency, and this article aims to provide a comprehensive guide on how to go about doing that.
Understanding the H1B Visa
The first step towards entrepreneurship on an H1B visa is to understand the visa itself. It is a non-immigrant visa that allows foreign workers to work for a US-based company for up to six years. The visa is tied to the sponsoring company, and the worker cannot work for any other organization without first transferring their visa to the new employer.
Starting a Business on an H1B Visa
While starting a business is generally allowed on an H1B visa, there are a few things to keep in mind. Firstly, the business must remain a side venture and cannot take away from the primary job that the visa holder is there to do. Secondly, the visa holder cannot be listed as an employee of the business and cannot draw a salary from it. Thirdly, the business cannot be structured as a sole proprietorship; it must be a legal entity like an LLC or a corporation.
Investing in a Business on an H1B Visa
If starting a business isn’t an option, the next best thing is to invest in an existing company. The H1B visa holder can invest up to 100% of their savings in the business, as long as the legal structure of the business allows it. The visa holder must demonstrate that the investment is a genuine one and not a means to obtain a green card. The investment must also be in a commercially viable business that employs US workers and contributes to the US economy.
Green Card Through Entrepreneurship
The EB-5 visa is a popular option for entrepreneurs looking to obtain permanent residency through investment. The visa requires an investment of $900,000 or more in a US-based business that creates a minimum of ten jobs for US workers. While the H1B visa does not provide a direct pathway to the EB-5 visa, it can be a stepping stone towards it. An H1B visa holder can invest in an existing business that qualifies for the EB-5 visa, and after holding the investment for the required period, they can obtain permanent residency.
Conclusion
In conclusion, entrepreneurship on an H1B visa is a viable option that many foreign nationals are exploring. Understanding the rules and regulations associated with the visa is essential to avoid any legal hassles. Starting a business or investing in an existing one requires careful planning and execution, but it can provide an alternate path to permanent residency. With the right preparation, H1B visa holders can turn their entrepreneurial dreams into reality.
