USCIS Proposes a New Rule for International Entrepreneurs

    Updated: 09/06/2016

    On 08/26/2016, USCIS announced a new rule that DHS is considering to implement. The rule would allow certain international entrepreneurs to be considered for parole (temporary permission to be in the United States) so that they may start or scale their businesses in the United States. This would not be a new visa.

    The entrepreneur would be granted parole for providing a “significant public benefit” to the U.S. The Foreign National (FN) would apply for a 2-year period of authorized stay, employment authorization would be entity-specific and available immediately upon the grant of parole. There would be a cap of 3 entrepreneurs per entity. Spouses would qualify to apply for an Employment Authorization Document (EAD) and children would be able to come but would not qualify for EADs.

    USCIS would consider the following factors, on a case-by-case basis:

    1. Formation of New Start-Up Entity: the startup must have formed in the United States within the past three years
    2. Applicant is an Entrepreneur:
      1. FN possesses a significant ownership interest in the entity at the time of adjudication of the initial grant of parole (at least 15%); and
      2. FN has an active and central role in the operations and future growth of the entity, such that his or her knowledge, skills, or experience would substantially assist the entity in conducting and growing its business in the United States. Such an applicant cannot be a mere investor.
    3. Significant U.S. Capital Investment or Government Funding: prove the entity’s substantial potential for rapid growth and job creation, by either:
      1. Receiving significant investment of capital (at least $345,000) from certain qualified U.S. investors with established records of successful investments;
      2. Receiving significant awards or grants (at least $100,000) from certain federal, state or local government entities; or
      3. Partially satisfying one or both of the above criteria in addition to other reliable and compelling evidence of the startup entity’s substantial potential for rapid growth and job creation.

    The FN could apply for re-parole for an additional 3 years (if he/she can demonstrate significant growth and continuing substantial potential for rapid growth and job creation).