The E-2 visa is a non-immigrant visa that allows a national of a treaty country to invest a substantial amount of capital in a U.S. business. There are several reasons why an E-2 visa application might be refused. Here are some common causes:
1. Insufficient Investment:
The investment amount is a critical factor in E-2 visa approval. If the investment is considered too low or not substantial enough to ensure the successful operation of the enterprise, the visa may be denied. There is no fixed minimum amount, but it must be enough to cover the startup costs and operational expenses.
2. Marginal Enterprise:
The business must not be considered “marginal,” meaning it should generate more than just enough income to provide a living for the investor and their family. If the business plan or financial projections suggest that the enterprise will only produce minimal income, the visa may be refused.
3. Lack of Evidence:
Inadequate documentation or evidence to support the investment, ownership, and business viability can lead to refusal. The applicant must provide detailed financial records, a credible business plan, and proof of the source of funds.
4. Ownership Issues:
The applicant must own at least 50% of the enterprise and have control over it. If there are questions about ownership, such as a lack of clear proof or shared ownership that doesn’t meet the criteria, the application could be denied.
5. Non-Active Investment:
The investment must be in an active commercial enterprise, not a passive investment like purchasing real estate or stocks. If the investment does not involve an active, operational business, the application may be refused.
6. Business Viability Concerns:
If the consular officer doubts the viability of the business—perhaps due to a poorly thought-out business plan, lack of market research, or insufficient experience of the applicant in the business field—the visa may be refused.
7. Fraud or Misrepresentation:
Any indication of fraud or misrepresentation in the application or during the interview can lead to an outright refusal. This includes providing false information or failing to disclose relevant facts.
8. Failure to Prove Non-Immigrant Intent:
While the E-2 visa does not have a strict requirement for demonstrating non-immigrant intent, issues may arise if the applicant cannot convincingly show that they plan to return to their home country after their visa term ends.
Each E-2 visa case is unique, and refusals are often based on a combination of factors. Understanding the specific reason for refusal is critical, as it will guide the steps necessary for addressing the issues in a future application.
If you want to apply for your E2 visa, reaching out to YA Law Corporation can be crucial for resolving the situation. YA Law Corporation, with its expertise in U.S. immigration law, can help and offer guidance on how to address your unique situation effectively through preparing a stronger reapplication, our legal team can provide strategic advice tailored to the individual’s specific circumstances. This professional support can significantly increase the chances of a successful outcome, offering peace of mind during what can be a stressful and complex process. Our office is located in Vancouver, BC.