Can the E2 visa investment include salary and relocation for the entrepreneur?

An investment, in terms of an E2 visa, is defined as the “placing of capital, including funds and/or other assets, at risk in the commercial sense with the objective of generating a profit. The capital must be subject to partial or total loss if the investment fails.” Further, the investment must be one that is substantial in relation to the total cost of starting the enterprise.

So, the question becomes whether your salary and relocation expenses are subject to loss should the enterprise fail. In you case, it doesn’t seem like it because you will pay the salary plus relocation expenses to yourself regardless of whether the enterprise fails or succeeds.

This brings up two points. First, an E2 investment is not required to be a certain dollar amount, it only needs to be substantial in relation to the rest of the investment in the enterprise. So, if you take your salary and relocation out of the initial $100,000, the left over may still be enough to be considered a substantial investment. This may not be feasible though because your salary and relocation will likely take a big chunk out of the $100,000 making it less likely that the left over will be substantial enough.

Another option would be to restructure your “salary” and make it more of a return on investment. That way, it will be at risk if the enterprise should fail and will likely be able to be included in your investment. An easy way to do this is to provide that you will pay yourself with profits or stocks of the company.

I hope I answered your question, but I would suggest that you speak with an immigration attorney more about the specifics of your situation. The process can be tricky and an experienced immigration attorney will be able to guide you through and inform you about your best options. Feel free to check out LawTrades. All you have to do is visit our site, answer a few questions and we’ll match you with an experienced immigration lawyer for a free initial consultation.