Opening a New U.S. Office with the L-1 Visa

Nowadays, for a business to reach its fullest potential, it must expand beyond its borders and to larger and more vibrant markets. As the world’s largest economy, the U.S. offers untold promise to entrepreneurs wishing to take their business to the next level. The L-1 Visa is one of the best ways to establish a foothold in the U.S. for your company, which is why Jurado & Farshchian specializes in helping business owners from all over the world qualify for it.

Requirements for the L-1 Visa

The L-1 Visa can only be applied for by a U.S. entity that has a qualifying relationship with a foreign business, such as an affiliate, branch, subsidiary, or sister company. Thus, a foreign business owner must provide evidence that they have already laid the groundwork for establishing a new office in the U.S. This can include articles of incorporation, corporate filings, or a signed lease agreement for a physical office space.

Our business attorneys can assist you in creating a qualifying U.S. entity for your business prior to applying for the L-1 Visa.

The L-1 Visa has two subcategories: the L-1A for managers and executives, and the L-1B for employees with “specialized knowledge” pertinent to the business. While either L-1 Visa type can be used to open a new office, it is usually advisable to utilize the L-1A for this purpose, since someone with experience in administrative duties and decision-making may be better equipped in getting a new office up and running. We can advise you on the best course of action based on the goals and needs of your business.

The U.S. government lays out specific criteria for what constitutes a manager, executive, or specialist. A candidate applying for the L-1A Visa must demonstrate the ability to make important company decisions with minimal oversight (executive) or show that they are in charge of an important division or function of the business, including certain personnel (manager). An L-1B Visa applicant must show knowledge about the company’s products, services, trade secrets, or policies that are integral to the business’ operations and relevant to opening a new office. In any event, a detailed profile showing the candidate’s merits for the respective L-1 Visa category will be required.

Keep in mind that whoever you send to establish the new U.S. office must have worked in your qualifying foreign business for at least one straight year out of the prior three. Be sure that the candidate meets this requirement and that you submit proof in the form of payroll records, tax returns, and/or paystubs.

Duration of Stay

An L-1 Visa obtained for the purpose of a new office has an initial stay period of only one year. This means you will have a limited timeframe within which to grow your business before you can apply for an extension, which is granted in two-year increments. You must provide a business plan that details how you intend to make your company profitable within one year. Hiring new personnel, fulfilling contract orders, and maintaining a revenue stream are some of the ways you can strengthen your case for an extension.

What About Family Members?

Getting a new office up and running within a year will be challenging enough without having to leave loved ones behind. Fortunately, the spouse of the L-1 Visa applicant or unmarried children under 21 years of age can apply for the L-2 Visa. This will allow them to stay in the U.S. for as long as the L-1 Visa holder is permitted. Moreover, the spouse can apply for an EAD to work in the U.S., while the children will be able to go to school.