How to write an E-2 Visa Business plan?

So why write it?

To comply with the expectations of those reviewing your E-2 Investment Visa, showing the immigration authorities (USCIS or US Consulates) business growth, plan for the creation of jobs in the US, the substantiality of your investment, the proof of the investment's scope and substance, etc. - an absolute necessity.

To test the feasibility of your idea – it can save you a great deal of time and money.

To guide you through the stages of starting and managing your business. This includes examining the industry, the forces which affect it, and the laws and regulations which govern and influence your business. Those, in certain cases, might be drastically different from your home country.

As a forecast/roadmap to how to run and grow your E-2 business in the future, giving yourself the best chance for your E-2 business being successful and hence, your E-2 visa is renewed.

All in all, to give your new E-2 business the best possible chance of success so you can prosper, grow, and stay in America.

If this is the only piece of advice that you will take away from this article - from somebody who works with E-2 investors on a daily basis – starting without a business plan especially in a new country such as America, is certainly not the best way to go – immigration-wise and business-wise.

What's typically included in an E-2 business plan?

Summary of the key info about your business.

- Company – what your company is and why it will be successful?

- Products/Services

- Business Strategy

- Company Analysis

- Start-up summary costs

- Financial Information

- Industry Outlook and Target Market

- Key metrics such as market trends, revenue, growth

- Market Segmentation

- An examination of key players in the market

- Key Differentiation Matrix

- Competitive Advantage in the Marketplace.

- Target Audience

- Strategy and Implementation - devise the Best Marketing Strategy for your business – how you'll attract and retain customers.

- Advertising and Promotions

- Company's Structure

- Company's Management

- Operational Structure, including the hiring plan and the operational growth plan

One of the most important and fundamental parts of the E-2 Visa package and your business:

- An Excel spreadsheet that includes detailed pro forma statements and financial projections for revenue, costs, valuation, and initial fund uses.

- These include detailed forecasted income statements, balance sheets, and cash flow statements projections for the next five years.

- Prepared in accordance with the accounting standards and other US regulations.

Appendix

Use your appendix to provide supporting documents or other materials that were specially requested.

So far, we have discussed what information should be included in a traditional business plan. However, there are fundamental differences between traditional business plans and E-2 business plans.

The two business plans differ in purpose. The E-2 visa Business plan has to entail not only the key components of a traditional plan but needs to go beyond. The purpose of the E-2 visa business plan is to convince its audience, i.e., the US immigration authorities - either USCIS or consulates – that the applicant is capable of directing the business, and the business can grow to the extent that supports the creation of the required number of jobs to qualify for the E-2 visa, thus contributing to the US economy.

Providing proof that your business is bona fide (financial statements, bank statements, etc.),

Providing proof that your business is not marginal. The investment must be substantial and irrevocably committed. Your money has to be 'at risk' (itemized list of goods and materials purchased for the start-up, lease agreement, etc.),

Detailed tracking of the money that you used to fund your investment (wire transfers or money orders, foreign bank statements, foreign tax returns, etc.),

Providing proof of the capability of the E-2 investor to develop and direct the business (list of owners and percentage of ownership, meeting minutes, Resume etc.)

To comply with the E-2 visa requirements, the E-2 business plan, along with the full visa investment package, must also provide extensive personal information, the applicant must disclose to comply with the UCSIS requirements. The business plan must be written in a way that helps to prove further that the E-2 investor is entering the US for the sole purpose of developing and directing the business in which the applicant invested.

The E-2 Business plan must not only be organized in compliance with the immigration requirements but must also be written to reflect the language of the E-2 immigration rules, including the appropriate 'buzzwords' - to convey the right information to the immigration authorities in very little time. It also should be written in plain English - free from grammatical and other errors.

Common pitfalls we have encountered when working with Clients:

Business plans which are not Immigration focused

Business plans which do not include financials or market research

Vague business plans which do not clearly describe the business

Business plans which do not take into account the US-specific context – laws, regulations, industry

A typical investment package with all the required documents will have about 200 pages, with every single element of the package fitting in and supporting the E-2 investor's application in line with the E-2 Investment visa requirements.

To sum up, having a well-written business plan that embeds all of the traditional business plan info, but at the same time complies with the E-2 Visa requirements is an absolute necessity.