L1 Visa Business Expansion to USA
Many people assume that the L1 Visa is only suitable for employees of multinationals transferring to an established US branch of a global business.
That isn’t the case. Many small niche UK and Irish business owners are considering how the L1 Visa could help them start up an affiliate business in the States or a US branch.
In this article, our US Immigration Lawyers explain how entrepreneurs and small business owners in the UK and Ireland can take full advantage of the L1 Visa.
US L1 Visa Lawyer London
For help with US visa applications contact OTS Solicitors. Appointments are available for phone, Zoom or Skype consultations or at our offices in London.
L1 Visas but No existing US business
It isn’t a bar to an L1 Visa application to have no current business venture in the US - despite the L1 Visa being all about the intracompany transfer process.
Whilst, in most cases, an established US employer will be transferring a non-US employee from one of its global offices to the US, the visa is flexible enough to cover US start-ups.
A non-US company can use the L1 Visa to open offices in the States by sending an existing employee on an L1 Visa to establish the US venture.
Where there is no existing affiliate office or branch in the US the L1 Visa applicant will be granted a visa for one year rather than the usual initial three-year visa. Applications can be made by an Immigration Attorney to extend the L1A Visa for up to seven years. Each extension application will be granted for a period of up to two years.
New business ventures and the L1 Visa
US Citizenship and Immigration Services (USCIS) rules say that where there is no existing US office and the L1 Visa is being used to send a non-US employee to the States as an executive or manager to establish a new office, the L1 Visa applicant must show:
- Premises - the employer has secured sufficient physical premises to house the new office
- Job - they have been employed as an executive or manager for the non-US business for at least one continuous year in the three years preceding the filing of the petition
- Growth potential - the intended office in the US will support an executive or managerial position within one year of the petition approval
Doing business in the US and the L1 Visa
For the L1A and L1B Visa categories, the US-based employer must:
- Be in a qualifying relationship – the US company must be legally associated with the non-US company employing the L1 Visa applicant. The qualifying relationship is flexible enough to include the parent company or subsidiary company, branch office or affiliate
- Be active – the US and non-US companies must be actively in operation. This must be the case throughout the L1 Visa holder's visa
These two eligibility criteria imply that the US-based business must be in existence and trading before an employee can apply for an L1 Visa but the USCIS rules clarify that whilst the US employer must have a qualifying relationship with the non-US company (so the US and non-US businesses are collectively qualifying organizations) the actual requirement is that the US venture is or ‘’will be doing business as an employer in the US and at least one other country directly or through a qualifying organization’’ for the duration of the L1 Visa holders stay in the US.
While the US business must be viable, there is no requirement that the US company must be engaged in international trade at the time of the L1 Visa application. However, doing business is defined as ‘’the regular, systematic, and continuous provision of goods and/or services by a qualifying organization’’.
An employee’s presence in the US on an L1 Visa does not allow the employee to passively sit there on arrival. With an initial L1 Visa duration of one year, the manager, executive or employee with specialist knowledge will quickly need to establish progress with the US affiliate, branch or subsidiary.
The Trump administration for entrepreneurs
Many UK and Irish business owners are interested in the possibility of expanding into the US to take advantage of a Trump economy. They are not deterred by any anti-immigrant rhetoric or talk of tariffs as they can see that the US could be the land of opportunity for those looking for a government head engaged in talking up the US economy and supporting it, a massive potential market base with tremendous spending power, low taxes and more relaxed employment provisions than in other countries, such as the UK.
Tips for L1 Visa applications with new US business ventures
If your business plans to set up a branch or affiliate office in the US then the company petition and the L1 Visa application must be comprehensive and meticulously written.
Experienced US immigration attorneys know the mistakes to avoid when preparing an L1 Visa for a US start-up company. The key points are not to make assumptions about the USCIS official’s knowledge of the business sector, the L1 Visa holder’s job role or knowledge of company structure.
Often, business owners immersed in the day-to-day running of their UK or Irish business don’t see how they or an accountant are using business-speak in the immigration petition when plain, clear language and figures are all that is needed.
Our top US visa lawyers in London recommend that:
- You keep things simple when it comes to information about corporate structures so it is easy to see that the US and the non-US businesses are both qualifying organisations and that the paper trail is sent with the application
- Everything is documented. You may assume that USCIS would accept that you plan to rent premises in the US. However, USCIS won't make that type of assumption or know that, in your business sector, your accommodation requirements will be modest as any sales personnel will be home-based or because there is no need to provide serviced offices from where services are provided. Likewise, if you plan to recruit in the US because of the start-up nature of the venture in the US then you should include a recruitment plan
- Charts and information in the clearest format will help your application as structures and chains of command that may be obvious to you as you are immersed in the business won't be to a USCIS caseworker
If your UK or Irish business is looking at opening a branch office or affiliate in the US and the business knows your best prospects of opening a successful venture involve transferring a UK or Irish employee to the US to mastermind the US expansion then speak to a US Immigration Lawyer in the UK for help with US immigration legal advice.
US L1 Visa Lawyer London
For US immigration legal advice contact OTS Solicitors. Appointments are available for phone, Zoom or Skype consultations or at our offices in London.
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