Looking to move to United States with the E-2 visa?

The INA and 8 CFR do not define a minimum investment amount for the E-2. Instead, the concept of "substantial" is relative: the investment must be proportional to the total cost of acquiring or establishing the business. For a business that costs US$ 150,000 to set up, an investment of US$ 120,000 is substantial. For one that costs US$ 2 million, US$ 120,000 would not be.

The Department of State applies the so-called "proportionality test": the higher the total cost of the business, the lower the required percentage. For low-cost businesses (below US$ 500,000), the investor is expected to have committed practically all the necessary capital, typically 80% or more. For high-cost ventures, lower percentages (50-60%) may be accepted.

Beyond substantiality, the E-2 requires that the investment not be "marginal," meaning the business must have the present or future capacity to generate income significantly above what is needed to support the investor and their family. A business that only covers the holder's salary does not pass the marginality test. The consulate wants to see growth projections, employee hiring, and economic impact.

The investment must also be "at risk," meaning subject to partial or total loss if the business fails. Money sitting in a bank account does not count. The capital must have been irrevocably committed: equipment purchased, rent paid, inventory acquired, contracts signed. Evidence of capital commitment is one of the most closely scrutinized parts of the petition.

The E-2 process for a first application is exclusively consular. You complete the DS-160 (Online Nonimmigrant Visa Application), pay the consular fee, schedule the interview at the U.S. consulate with jurisdiction over your location, and present all documentation at the interview. There is no prior petition to USCIS as with the H-1B or L-1.

The consular interview is the decisive moment. The consul has broad discretionary authority. They will review the business plan, examine the financial documentation, ask questions about the business (what it does, who the clients are, what the competitive advantage is, projected revenue), and assess your credibility as an investor and manager. The interview typically lasts 10-20 minutes.

Unlike visas such as the H-1B, where USCIS adjudicates based on written documentation, the E-2 has an in-person evaluation component. The consul is assessing not only the paperwork but whether you know what you are talking about. Investors who cannot explain the details of their own business receive denials even with perfect documentation.

Mistake 1: insufficient or non-at-risk investment. Leaving money in an account "set aside" instead of committing it to the business. Mistake 2: a generic or incoherent business plan that does not match the financial numbers. Mistake 3: inability to explain your own business at the interview, the consul can tell when the investor does not know what they are talking about.

Mistake 4: untraceable source of funds. Money that "appears" without clear documentation of origin. Mistake 5: a business with no real activity, a shell company created solely for the visa, with no genuine operations. Mistake 6: a marginal business with no potential to generate employment or revenue beyond the investor's subsistence.

Mistake 7: not including dependents in the process from the beginning. Adding a spouse and children later creates unnecessary complications. The process is more efficient when everyone applies together at the first interview.

Most of these mistakes are not due to lack of information, they are due to lack of planning and rushing to apply. Investors who assemble their case in 4-6 weeks almost always commit at least two of these mistakes. The E-2 rewards meticulous preparation.