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Updated by Sarah Rall on Jul 20, 2020
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Sarah Rall Sarah Rall
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Why the US E2 visa is becoming more popular than the E5 visa

Traditionally, investors and entrepreneurs would be able to gain access to the American market through an EB5 investor visa. However, waiting times and investment costs have soared in recent years and now the E2 visa is becoming the easiest and most popular route.

1

Faster application process

Faster application process

An EB5 visa often takes around 5-7 years, whereas the E2 visa can be achieved within a few weeks.

2

No minimum investment

The EB5 visa has a minimum investment requirement of $900,000. The E2 visa does not have a minimum investment, it depends on the costs of running the business. Therefore, $100,000 could be enough.

3

Tax benefits

Investors that meet the requirement of nonresident aliens will not be taxed as US citizens. Nonresident aliens are those who reside in the US less than 131 days a year. All EB5 visa holders are taxed as US citizens.

4

No obligation to reside in the US

No obligation to reside in the US

E2 visa holders are not required to live in the US, whereas EB5 visa holders must reside in the US for a minimum of 6 months per year.

5

Lower legal fees and less paperwork

Legal fees for the E2 visa application process are generally around $10,000-$20,000. For the EB5 visa they are around $50,000-$70,000. As the E2 visa is a nonresident visa, the paperwork is considerably less than the EB5 visa.