Start-up Visa Program: the situation in the United States

It’s not easy to keep up with current events in the United States. The administration initiates, validates, modifies, cancels or puts on hold numerous projects. If you’re an entrepreneur, you may be interested in the Start-up Visa Program. What’s the current status? Is it likely to be implemented soon?

The program could benefit many immigrants, adding to the list of residence permits such as ESTA and tourist visas. This startup visa system is already in operation in Canada, for example. However, the American government is reluctant to adopt this system, which some consider dangerous in terms of immigration.

What is the Start-Up Visa Program?

To immigrate to the United States, you need to apply for a visa (or, in certain cases, an ESTA permit ). In fact, you need to obtain authorization from the American authorities, who judge whether your profile and your project on their soil present no risk to domestic security. All travel must be justified: to join family, to attend university for a semester, to hold a job, to visit the country, and so on. There’s a visa for every reason.

Anyone wishing to set up a business in the United States, whether a start-up or not, must obtain an E-1 visa, which is not necessarily suitable for small structures and is complicated to obtain. This situation discourages many foreigners attracted by the United States to launch their business. By way of comparison, many countries have set up a Start-up Visa Program to welcome foreign investors under the best possible conditions: you can immigrate to Canada, Spain or New Zealand on a start-up visa. Specific measures are also in place in Italy, Germany and even France.

To facilitate the arrival of start-ups on its territory, the U.S. government has often raised the issue of a possible startup visa, as part of the “International Entrepreneur Rule”. This program aims to increase the number of international entrepreneurs in the United States, as numerous studies show the benefits this would bring in terms of job creation.

Beware of confusion with the Visa Waiver Program. The latter has nothing to do with the former, and is designed to exempt certain travelers from U.S. visa requirements. This does not apply to investors or company founders.

Under the Obama administration, the Start-up Visa Program came close to becoming a permanent fixture, but the election of Donald Trump changed all that. The program is not in line with the new president’s immigration policy.

Start-up visa program: a project in the process of being repealed

Unfortunately, if you’re hoping to apply for residency in the USA via the Start-up Visa Program, you’re going to have to revise your plans, at least for now. The DHS (Department of Homeland Security) has abandoned this idea, which was so close to becoming a reality in 2017. Initially postponed, the project is now in the process of being repealed, since a May 29, 2018 report. The reason given? The Startup Visa Program does not comply with current DHS policy, and does not sufficiently protect American workers and investors from foreign nationals.

Supported by part of Silicon Valley, the measure is unlikely to become operational for some time. Perhaps a future presidential election will bring it back to the fore. There’s no doubt that Trump will never take a stand in favor of setting up a such investor visa program for start-ups; on the contrary, his intention is focused on reducing emigration to the USA. In fact, existing visa quotas are likely to be reduced by the end of his term.

As a result, today, if you want to live in the United States and invest in or launch a business, you can’t qualify for a Start-up Visa Program. Instead, you have to comply with the difficult procedures associated with existing visas (temporary residence) or the green card (permanent residence).