You are hereBiz Purchase/Transactional Issues
Biz Purchase/Transactional Issues
[Q] Can I do E-2 case by purchasing company stock shares rather than company assets?
Yes, E-2 can be done via either stock purchase or asset purchase, but there are certain precautions prospective E-2 investor should take in purchasing company shares.
[Q] What licenses and permits do I need to set up and run a U.S. business?
Licensing and permit requirements vary among states and depends on the type of business you wish to purchase and operate. Having said this, you need. For specific information, you cna contact the appropriate governmental agencies, or retain the services of a law firm like us to make the inquiries.
[Q] What visa can I use to enter the U.S. to take a look at a business I might want to purchase?
You can use your B1 visa or enter on visa waiver program to take a look at the business and do due diligence and purchase the business. Just in case you are questioned at the airport about the purpose of your trip, you should have a letter from the attorney, seller or agent stating that you are entering to take a look at the business and do due diligence, not to operate a business and receiving salary.
[Q] I just want to own a U.S. business. Do I need an E-2 visa for that?
If you just want to own and will not be actively involved in the managing of that business, the answer is "no". You can own the business and then enter the U.S. in B1/B2 visa and take a look at the business, etc.
[Q] Is it better to form a corporation or LLC to purchase, operate the biz and apply for E-2/E-1 visa?
Yes, unless there is a special reason why you do not wish to form a corporation or LLC to purchase, operate and apply for E-2/E-1 visa, you should for mainly two reasons: protection from personal liability and in the event you wish to purchase another business.
[Q] Can I pursue an E-2/E-1 visa by purchasing 10% interest in a U.S. company worth 2 Million USD?
No, because E-2 requires at least 50% control of the E-2 enterprise business.
[Q] What are unique considerations when purchasing an existing business for E-2 purpose?
In addition to all the considerations that one should take into account when purchasing an existing business, there are following special considerations the E-2 investor should note when he or she is purchasing an existing business to apply for an E-2 visa or status.
1. E-2 investor should make sure that the subject business meets the requirements for E-2 visa. That means doing a due diligence in light of the E-2 requirements. This is something the E-2 investor should undertake BEFORE purchasing the business, not afterwards.Read more
[Q] Can I do an E-2 case by establishing a new business or purchasing an existing business?
Either approach is fine. There are different issues and potential problems associated with either approach.