Comparing U.S. Investor Visas With Other Employment-Based Visas

The United States provides several routes for foreign nationals to become U.S. residents. Among the numerous immigration routes available, employment- and investment-based visas are the most popular categories. These are further divided into sub-categories with specific requirements, application procedures, and unique benefits.

This article compares U.S. investor visas and some of the most popular employment-based visas, taking a closer look at their requirements and unique benefits.

U.S. Investor Visas

Investor visas are immigration routes that offer residency to foreign nationals in exchange for an investment in the U.S. economy. The United States has two types of investor visas:

• E-2 treaty investor visa
• EB-5 immigrant investor visa

E-2 Treaty Investor Visa

The E-2 investor visa is a non-immigrant business visa issued to entrepreneurs from countries with a trade agreement with the U.S. It allows nationals of U.S. treaty countries to temporarily reside in the U.S. to establish and run a business.

There is no specific investment amount required for the E-2 visa, while most E-2 business investments range from $100,000 to $300,000.

The E-2 visa is issued for an initial two years and can be renewed every two years. However, the visa’s validity and the holder’s ability to renew the visa are tied to the success of the business, which must remain solvent for the visa to remain valid. You may lose your ability to stay in the U.S. if the company fails or suffers significant financial losses.

E-2 visa holders can bring their dependent family (their spouse and unmarried children under 21) to the U.S., but they must obtain Green Cards through other pathways if they have plans for long-term permanent residency.

EB-5 Immigrant Investor Visa

The EB-5 immigrant visa grants U.S. permanent residency to foreign nationals who invest at least $1,050,000 in the U.S. economy, or $800,000 if the investment is within a targeted employment area (TEA). The new commercial enterprise that receives the investment must also create at least 10 full-time jobs for qualified U.S. workers.

Applicants can invest directly in a qualifying business operation or through a regional center. Most EB-5 applicants prefer to invest through a regional center because this route requires minimal involvement and creating the required jobs is easier.

After investing in a qualifying EB-5 project, EB-5 investors will file Form I-526E with United States Citizenship and Immigration Services (USCIS). Once USCIS approves their Form I-526E, the investor and their derivative beneficiaries will be issued conditional Green Cards that are valid for two years.

EB-5 investors must file Form I-829 to remove Green Card conditions three months before the end of their two-year conditional residence. USCIS will issue you a permanent Green Card once they confirm you have met all the EB-5 requirements. You can then apply for U.S. citizenship after five years of holding an EB-5 Green Card, including the initial two years.

U.S. Employment-Based Visas

U.S. employment-based visas grant residency to foreign nationals employed by U.S. companies. Most employment visas, however, require that the U.S. employer file a permanent labor certification with the Department of Labor (DOL) proving that they could not find an American worker to fill the role.

We’ll discuss some popular employment-based visas in detail below.

Employment-Based First Preference (EB-1)

The EB-1 visa is for foreign nationals at the very top of their careers or industry. It is divided into three subcategories.

• EB-1A for persons with extraordinary ability.
• EB-1B for outstanding researchers and academics.
• EB-1C for multinational executives and managers.

Individuals applying for EB-1A do not require employer sponsorship. However, they must prove they have obtained extraordinary achievements and received nationally or internationally acclaimed awards.

EB-1B and EB-1C applicants require employer sponsorship. They must also provide documentation to demonstrate that they have attained outstanding achievements in their fields. Additionally, if you’re applying as a multinational executive, you must have already worked for the company in an executive or managerial role for at least one year.

The EB-1 visa is a direct route to permanent residency for applicants and their dependents, but it has stringent requirements only those at the top of their careers can meet. Crucially, there are also heavy backlogs for Indian and Chinese nationals in this visa category. Applicants from these countries may have to wait several years for a visa to become available.

Employment-Based Second Preference (EB-2)

The EB-2 visa is issued to two categories of foreign nationals:

• Professionals with an advanced degree, meaning a master’s degree or PhD, or a bachelor’s degree and five years of experience.
• Persons of exceptional ability in the arts, business, or sciences at an uncommon level of expertise in these fields.

The EB-2 visa requires employer sponsorship. The U.S. employer will have to obtain a Program Electronic Review Management (PERM) certification and file a Form I-140 on behalf of the applicant. Applicants can, however, apply for a sponsorship and PERM exemption, known as a National Interest Waiver (NIW), if they can prove that their knowledge/expertise is of national interest to the U.S.

Although the requirements for an EB-2 visa are less stringent than those for an EB-1 visa, the category’s standards still only apply to a select group of the working population. There are also heavy backlogs in the EB-2 route, especially for Indian and Chinese nationals. Data from a recent visa bulletin shows that Indian applicants may have to wait over a decade to get an EB-2 visa.

Employment-Based Third Preference (EB-3)

Like the EB-2 visa, the EB-3 visa requires PERM certification and Form I-140 filing by a U.S. employer on behalf of the foreign employee. The EB-3 visa is issued to three categories of foreign workers:

• Skilled workers whose jobs require at least two years of training or experience.
• Professionals whose jobs require at least a bachelor’s degree from a U.S. college or university or its equivalent.
• Unskilled workers employed in permanent jobs whose positions require less than two years of training and experience.

The EB-3 visa is the most popular employment-based immigration route because its requirements are easier to meet. However, this ease of access has resulted in some of the heaviest backlogs due to high application volumes. The EB-3 route has the longest wait times for applicants of all nationalities.

H-1B Specialty Worker Visa

The H-1B visa allows U.S. employers to hire foreign workers with specialized skills or knowledge. It is a nonimmigrant visa that grants temporary residence to specialized foreign workers.

Like other employment visas, your employer has to file an H-1B petition on your behalf. Finding a sponsor, however, is only the beginning of a long, uncertain process—instead of simply sponsoring you and you being able to come to the U.S., your employer will have to register you in the H-1B system to participate in the H-1B lottery with hundreds of thousands of other applicants. Only those chosen by the lottery system can petition for an H-1B visa.

Being a nonimmigrant visa, the H-1B offers no direct route to permanent residency. It allows you to work in the U.S. for a maximum of six years, after which you’ll have to return to your country unless your employer sponsors you for an EB-2 or EB-3 Green Card. Moreover, if you lose your job, you must leave the U.S. within 60 days unless you find a new sponsor.

Comparing Investor Visas With Popular Employment-Based Visas

Here’s a side-by-side comparison of U.S. investor visas and some popular employment-based visas.

Why EB-5 Offers the Most Benefits

Although classified as employment fifth preference, the EB-5 visa does not require employer sponsorship. Applicants can self-petition for their Green Cards based solely on a qualifying EB-5 investment.

The EB-5 program offers the most straightforward route to obtaining legal permanent resident status. Applicants investing in a TEA project benefit from set-aside “reserved” visa categories with no backlogs. USCIS also prioritizes processing I-526E petitions for rural TEA investments, and many rural investors have received their EB-5 Green Cards within 12 months.

Another key benefit of the EB-5 program is the concurrent filing provision. EB-5 investors already in the U.S. on nonimmigrant visas can simultaneously file for adjustment of status with their I-526E petition. They can also file for employment authorization documentation and advance parole, allowing them to work in the U.S. and travel freely while USCIS adjudicates their EB-5 application.

Although the EB-5 visa can be more cost-intensive than employment-based visas, it typically provides a faster and more certain route to U.S. permanent residency and eventual citizenship. And with proper due diligence, you can get your investment capital back with potential profits.

Start Your EB-5 Journey With EB5AN

While EB-1, EB-2, and EB-3 visas provide a direct route to permanent residency, several inherent limitations make them less ideal for most people looking to immigrate to the United States. EB-2 and EB-3 visas depend on employer sponsorship and have incredibly long wait times, and only a small percentage of workers can meet the EB-1 requirements.

The EB-5 program provides the best alternative for those who can’t meet the EB-1 requirements or face the long wait times in EB-2 and EB-3. If you’re considering the EB-5 program, EB5AN can guide you through the process.

EB5AN has helped over 2,300 families from 60+ countries become U.S. permanent residents through the EB-5 route. We offer our clients first-rate, low-risk EB-5 projects with a 100% USCIS approval rate to date.

For more information about the EB-5 process, schedule a free one-on-one consultation with our experts today.