E-2 Visa Minimum Investment Explained

If you are an investor or entrepreneur from a treaty nation, the E-2 visa offers a path to build or buy a U.S. business. A common question surrounds the investment required. Many people look for a specific dollar figure, but immigration law defines the requirement differently. 

This guide explains the substantial investment rule, how it is evaluated, and what it means for your E-2 visa application.

What is the E-2 visa?

The E-2 Treaty Investor Visa allows nationals of countries with a treaty of commerce and navigation with the United States to invest in and manage an American business. It is a non-immigrant visa designed for entrepreneurs who plan to develop and direct a U.S. enterprise. The E-2 visa does not have an annual quota, making it a flexible option for qualified investors.

How the minimum investment works

There is no official minimum investment amount set by U.S. immigration law for an E-2 visa. The law requires a “substantial amount of capital,” an intentionally flexible term. The focus is on the nature of the investment relative to the business itself.

The evaluation of a substantial investment is not based on a fixed number but on a "proportionality test." This test compares the amount you invest to the total cost of the business. The core idea is to show that you have a significant financial commitment to the enterprise’s success. The type of business you choose will directly influence the amount of money considered substantial.

E-2 visa minimum investment standards

To meet the E-2 visa requirements, your investment must be considered substantial. Consular officers and U.S. Citizenship and Immigration Services (USCIS) adjudicators use specific criteria to make this determination.

Your investment funds must be irrevocably committed and at risk. This means you must have already spent the money or have committed it to the business in a way that you cannot recover if the venture fails. Simply having funds in a business bank account is not enough. The capital must be used for real operating expenses, such as purchasing equipment, securing a lease for real estate, buying inventory, or paying for a franchise fee.

Factors adjudicators consider

When reviewing your E-2 visa application, an officer will assess several factors to determine if your investment is substantial:

• The Proportionality Test: This is the primary method used. Think of it as an inverted sliding scale. For a business with a low total cost, a higher percentage of investment is required. For a high-cost business, a smaller percentage might be acceptable if the dollar amount is significant.
• Cost of the Business: The total cost of the business is the price of an existing business or the total startup costs for a new one. Your investment is measured against this figure.
• Sufficient Income Generation: The business cannot be a marginal enterprise. It must have the present or future capacity to generate enough income to provide more than a minimal living for you and your family. Hiring U.S. workers is a strong positive factor.
• Operational Control: You must demonstrate at least 50% ownership or maintain operational control as the principal investor. This proves you are in a position to develop and direct the company.

Common investment ranges and examples

Because there is no set minimum investment amount, the actual E-2 visa investment varies widely. Here are some E-2 visa investment examples:

• Low-Cost Service Businesses: For consulting firms or other service-based companies with low startup costs (e.g., $60,000 to $80,000), you would likely need to invest close to 100% of the total cost. An investment of $50,000 might be considered substantial if it covers the majority of the expenses needed to make the business operational.
• Franchise Businesses: Buying a franchise is a popular option. The investment required depends on the franchise agreement. For example, a small food service franchise might have a total cost of $150,000. An investment of $100,000 to $120,000 would likely meet the proportionality test.
• Asset-Heavy Businesses: Manufacturing plants or businesses with significant real estate holdings have a much higher cost of the business. An investment of $250,000 in a business valued at $1 million could be considered substantial because of the large amount of capital involved.

Who is eligible for an E-2 visa?

Meeting the substantial investment requirement is just one part of the eligibility for an E-2 visa. You must also meet several other criteria.

You must be a national of a treaty country. The U.S. maintains a treaty of commerce and navigation with many nations, including Canada, France, Germany, Japan, and the United Kingdom. A full list of E-2 visa countries is available from the Department of State. If the business is an organization, at least 50% of it must be owned by a national of a treaty country.

You must intend to depart the U.S. when your E-2 status ends. The E-2 is a non-immigrant visa, so you need to demonstrate ties to your home country.

Finally, the enterprise cannot be marginal. Your business plan and financial projections must show that the company will generate significantly more than enough income to support you and your family or that it will make a significant economic contribution to the U.S. economy.

Requirements for dependents and family members

Your spouse and unmarried children under 21 can accompany you to the U.S. as dependents. These family members do not need to be from an E-2 treaty country. Your spouse receives employment authorization incident to their E-2S status, allowing them to work for any employer in the U.S. without needing a separate Employment Authorization Document. Your children can attend school. The visa status of your dependents is tied to your own E-2 status.

How to prepare your E-2 visa investment

Proper documentation is critical for a successful E-2 visa application. You must clearly trace the path of your investment funds from their origin to their use in the U.S. business.

Documenting the source of funds

You must prove the source of funds is legitimate. Acceptable investment funds can come from savings, a prior business sale, a gift, an inheritance, or a loan secured by your personal assets. You will need to provide bank statements, wire transfer records, and other financial documents to trace the money.

Business plan requirements

A comprehensive business plan is the centerpiece of your E-2 visa application. It should detail your business model, market analysis, five-year financial projections, and operational strategy. The plan must convince consular officers that your E-2 business is viable and not a marginal enterprise.

Preparing the E-2 business

Before you apply, the business must be real and operational. This means taking active steps:

1. Form the business entity: Register your LLC or corporation in the U.S.
2. Open a U.S. bank account: Transferring the investment funds to this account is standard practice.
3. Commit funds: Sign a lease, purchase equipment, buy a franchise, or otherwise spend a significant portion of your capital. This demonstrates that the successful operation of the enterprise is underway.

The E-2 visa application process

There are two main ways to obtain E-2 status.

The most common path is applying at a U.S. consulate or US embassy in your home country. You will submit your complete application package, including all financial documentation and your business plan, and then attend a visa interview.

If you are already in the U.S. in a valid non-immigrant status, you may be able to file for a change of status with USCIS. While this avoids international travel, it only grants E-2 status, not a visa stamp. If you leave the U.S., you must go through the consular process to re-enter.

E-2 visa interview requirements

During the visa interview, consular officers will scrutinize your application. They will ask questions about your business plan, your qualifications to run the business, and the details of your E-2 visa investment. Be prepared to explain how your investment is at risk and how you will maintain operational control. A successful visa approval often depends on this interview.

Timeline, costs, and processing expectations

The E-2 visa processing time can vary from a few weeks to several months, depending on the specific U.S. consulate. The E-2 visa cost includes government filing fees and the capital you invest. 

The E-2 visa cost includes both government filing fees and your committed investment capital. In addition to the funds you invest in the U.S. business, you’ll need to budget for the following fees tied to your E-2 visa application:

1. Consular processing fees

If you apply for your E‑2 visa through a U.S. consulate or US embassy, the following fees apply before your visa interview:

• DS‑160 application fee: $160 (non‑refundable)
• Consular filing fees: Varies by location. Each U.S. consulate charges a different fee for E‑2 filings.
• Travel expenses: You’ll need to budget for travel to the consulate and related costs to attend your interview abroad.

2. USCIS filing fees (for change of status within the U.S.)

If you are already in the United States under another lawful non‑immigrant visa and prefer to apply for a change of status through USCIS (U.S. Citizenship and Immigration Services) instead of consular processing, these fees apply:

• Form I‑129 (Petition for Nonimmigrant Worker): $460
• Optional premium processing: $2,500 for a decision within 15 calendar days

Most immigration attorneys advise applicants to apply through a U.S. consulate rather than USCIS, since consular approvals generally grant longer validity periods and avoid duplicate filings.

3. Additional costs

Other costs associated with the E‑2 visa process include:

• Attorney fees: Vary depending on your representative or law firm, and the complexity of your case.
• Business plan development: A written plan is required and may involve preparation costs, especially for detailed financial projections or startup modeling.
• Travel costs to the United States: Variable; you must travel after visa approval.
• Franchise fees or business setup: If you’re investing through a franchise or new business, these payments count toward your substantial investment but are separate from government fees.

If approved, you are typically granted E-2 status for up to two years upon admission. You can renew your status indefinitely as long as the business continues to meet the E-2 visa requirements.

There are no formal E-2 visa travel restrictions, but your visa stamp must be valid for reentry.

Benefits of the E‑2 visa

The E‑2 visa offers flexible advantages for investors and entrepreneurs building a U.S. business.

Work and live in the U.S.
You can live in the United States while managing your investment. E‑2 status is granted for an initial two‑ to five‑year period and can be renewed indefinitely if your business remains active.

Spousal employment and family access
Your spouse receives work authorization incident to status and can work for any U.S. employer. Your unmarried children under 21 can attend school without separate student visas. The visa status of your dependents aligns with your own E‑2 status.

No lottery or cap
The E‑2 is not subject to annual quotas or lotteries. As long as you meet the E‑2 visa requirements, you can apply any time through a U.S. consulate or by filing a change of status with USCIS.

Lower investment threshold
Compared with the EB‑5 visa, which requires $800,000 or more, the E‑2 visa investment can be much smaller (often $80,000 to $200,000), depending on the type of business and startup costs.

Renewable and adaptable
There’s no maximum stay as long as the business continues to operate, hire U.S. workers, and meet compliance standards. Many E‑2 visa holders later transition to a green card through the EB‑5 or EB‑2 visa categories.

Common mistakes and reasons for E-2 denial

A weak application can lead to a denial. Common issues include:

• Insufficient Investment: The amount is not considered substantial under the proportionality test.
• Unsupported Business Plan: Financial projections are unrealistic or the business model is not viable.
• Unclear Source of Funds: Failure to provide a clean, documented trail for the investment funds.
• Marginal Enterprise: The business does not show the capacity to generate more than a minimal living or contribute to the U.S. economy.

Pathways beyond the E-2 visa

The E-2 is a nonimmigrant visa and does not directly lead to permanent residency or a green card. E-2 visa holders seeking a path to U.S. citizenship must pursue a separate immigrant petition.

While there are paths from E-2 visa to green card, the route is not direct. One option is the EB-5 visa, another investor visa that requires a much larger investment but provides a direct path to a green card. Some entrepreneurs may also qualify for an employment-based green card, such as the EB-2 visa, if they meet the qualifications. Transitioning from an E-2 visa to a green card is a complex legal process that often requires guidance from an experienced immigration attorney or law firm.

Getting support through the process

The E-2 visa process is complex, with detailed documentation requirements at every stage. Lighthouse helps entrepreneurs navigate this process with services designed to strengthen your E-2 visa application. We assist with business plan reviews, organize evidence to meet government standards, and provide support to keep your application on track. Our goal is to make the visa process smoother for investors and their families.

To find out how we can help you with your E-2 treaty investor visa, contact our team for an assessment of your eligibility.

FAQs

How much capital is required for an E-2 visa?

There is no fixed capital requirement for an E-2 visa. The investment must be "substantial" in relation to the total cost to purchase or establish the U.S. business, as determined by a proportionality test. The necessary amount of money depends entirely on the type of business.

What are the minimum requirements for an E-2 visa?

The minimum requirements for an E-2 visa include being a national of an E-2 treaty country, making a substantial at-risk investment in a real U.S. business, owning at least 50% or having operational control, and demonstrating the enterprise is not marginal. Lighthouse can help you assess your qualifications against all E-2 visa requirements.

How much do you need for an E-2?

The amount you need depends on your business. A service-based startup may require an investment of $80,000 to $100,000, while purchasing an existing business or franchise could require $150,000 or more. The key is that the E-2 visa investment must be sufficient for the successful operation of the enterprise.

Is $50k enough for an E-2 visa?

An investment of $50,000 could potentially qualify for an E-2 visa, but only for a very low-cost business where that amount represents a high percentage of the total startup costs. For most businesses, a higher investment is needed to meet the "substantial" threshold and prove the enterprise is not marginal.

Can you buy a franchise for an E-2 visa?

Yes, buying a franchise is a very common and effective strategy for an E-2 visa. The franchise agreement provides a clear business model and established startup costs, which can simplify the application process and help demonstrate the viability of your new business.

Can E-2 visa holders apply for a green card?

E-2 visa holders can apply for a green card, but the E-2 status itself does not provide a direct path. You must qualify independently for an immigrant visa category, such as the EB-5 investor program or an employment-based category like the EB-1 visa. This is a separate legal process from maintaining your E-2 visa.