If you’re looking to invest in the U.S. and secure a visa in the process, you’ve probably come across the EB-5 and E-2 visas. Both are designed for investors, but they have significant differences that can make one a better fit than the other, depending on your circumstances.
What Are the EB-5 and E-2 Visas?
EB-5 Visa – The Direct Path to a Green Card
The EB-5 Immigrant Investor Program is for those who want to invest in the U.S. economy and obtain permanent residency (a green card). It requires a substantial investment and the creation of at least 10 full-time jobs for U.S. workers.
Here’s what you need to know about the EB-5 visa:
- Minimum Investment: $800,000 in a targeted employment area (TEA) or $1,050,000 in other areas.
- Job Creation Requirement: Must create at least 10 full-time jobs for U.S. workers.
- Path to a Green Card: Successful applicants receive conditional residency for two years, leading to permanent residency if all conditions are met.
- No Nationality Restrictions: Open to investors from any country.
- Passive or Active Investment: You don’t need to be actively involved in the business; investing in a Regional Center allows for a more passive approach.
This visa is an excellent option for those who have the funds and are looking for a direct route to permanent residency in the U.S. When applying for this type of visa, working with an EB5 visa attorney is critical to ensure you fulfil all requirements and your application is submitted correctly.
E-2 Visa – The Entrepreneur’s Flexible Option
The E-2 Treaty Investor Visa is a non-immigrant visa, meaning it doesn’t lead directly to a green card. However, it allows foreign investors to live and work in the U.S. while managing their business.
Key points about the E-2 visa:
- Investment Requirement: No fixed amount, but typically at least $100,000–$200,000 is recommended.
- Business Ownership: You must own at least 50% of the business and be actively involved in its operation.
- Renewable Status: The visa can be renewed indefinitely, as long as the business remains active and profitable.
- No Job Creation Requirement: Unlike the EB-5, you don’t need to create a specific number of jobs.
- Nationality Restrictions: Only available to citizens of countries that have an E-2 treaty with the U.S.
This visa is perfect for entrepreneurs who want to own and run a business in the U.S. without making a massive upfront investment.
Key Differences Between EB-5 and E-2
1. Green Card vs. Temporary Visa
The EB-5 visa leads to a green card, providing permanent residency in the U.S. The E-2 visa does not—it’s a temporary visa that must be renewed periodically.
2. Investment Amount
The EB-5 requires a much higher investment—at least $800,000 to $1.05 million. The E-2 visa has no fixed minimum, but a solid investment of at least $100,000–$200,000 is usually expected.
3. Business Involvement
EB-5 investors can be passive, meaning they don’t need to actively run the business. E-2 visa holders must be actively involved in the business and own at least 50%.
4. Job Creation Requirements
The EB-5 visa mandates the creation of 10 full-time jobs for U.S. workers. The E-2 visa does not have a formal job creation requirement, though the business should contribute to the economy.
5. Nationality Restrictions
The EB-5 visa is open to investors from any country. The E-2 visa is only available to nationals of countries that have an investment treaty with the U.S.
Who Should Choose the EB-5 Visa?
The EB-5 visa is ideal for investors who:
- Have significant funds to invest ($800,000 or more)
- Want a green card and permanent U.S. residency
- Prefer a passive investment option (like a Regional Center)
- Don’t mind a longer processing time (can take several years)
If you’re looking for a direct and guaranteed path to U.S. residency, this is the better choice.
Who Should Choose the E-2 Visa?
The E-2 visa is a better fit for:
- Entrepreneurs who want to actively run a business
- Investors from a treaty country
- Those who can’t or don’t want to invest $800,000+
- Individuals who want a faster, more flexible visa option
While it doesn’t provide a direct route to a green card, the E-2 visa is renewable indefinitely, allowing business owners to live and work in the U.S. long-term.
Can You Transition from E-2 to EB-5?
Yes! Many E-2 visa holders eventually apply for an EB-5 visa. This typically happens when their business grows and they can invest additional funds to meet EB-5 requirements.
Some common strategies include:
- Expanding the business and investing more to reach the EB-5 threshold
- Purchasing a new business that qualifies for EB-5
- Partnering with a Regional Center to meet investment and job creation criteria
This approach allows entrepreneurs to start with the E-2 visa and later transition to permanent residency through EB-5.
Which One Is Right for You?
It all comes down to your goals, budget, and nationality.
If you have $800,000+ and want a green card, go for the EB-5.
If you want a more flexible, faster way to the U.S., the E-2 is your best bet—if you’re from a treaty country.
Still unsure? Consider speaking with an immigration attorney to discuss your options based on your specific financial situation and long-term goals.
Your Investment, Your Future
Choosing between the EB-5 and E-2 visa is a big decision, but understanding the differences makes it easier to pick the right path. Whether you want permanent residency or a flexible way to live and work in the U.S., both visas offer unique benefits. The best investment? The one that aligns with your future goals.
