Understanding the E-1 visa for Startup Founders
The E-1 Treaty Trader visa is a lesser-known but highly practical option for international startup founders looking to expand their operations to the United States. Unlike employment-based or talent-specific visas, the E-1 is tailored for individuals and companies engaged in substantial international trade between their home country and the U.S.
Disclaimer: This article provides general information and insights based on publicly available information. It is for informational purposes only and does not constitute legal advice. For legal advice and assistance tailored to your specific immigration situation, you should consult with a qualified and licensed immigration attorney
Who Qualifies as a “Treaty Trader”?
To be eligible for the E-1 visa, the applicant must be a national of a country with which the United States maintains a treaty of commerce and navigation. The list includes countries such as Japan, Germany, the United Kingdom, Canada, and South Korea, among others.
The visa applicant must be coming to the U.S. to develop and direct the operations of an enterprise that conducts substantial trade between the treaty country and the U.S. At least 50% of the trade volume must occur between these two nations.
What Types of Businesses Are Eligible?
Eligible business activities under the E-1 visa span a wide range of industries, including technology services, logistics, consulting, e-commerce, and SaaS platforms. To qualify, the business must engage in substantial and principal trade between the U.S. and the treaty country. This trade can include goods, services, technology and data processing, international banking, insurance, and transportation.
“Substantial trade” involves a continuous flow of sizable international transactions over time. Early-stage startups that engage in exporting software, licensing digital products, or providing remote services to U.S. clients may qualify if they can show consistency and volume in these activities.
Startup founders who can demonstrate an active and sustained flow of trade are eligible to apply under the E-1 category. The E-1 does not mandate a minimum investment, which can make it more accessible for entrepreneurs in the early phases of business development. However, applicants must show they have sufficient resources to operate the business effectively in the U.S.
For tech entrepreneurs, especially those with U.S. clients, recurring service contracts, and digital product distribution, the E-1 visa can be a practical solution that aligns with common cross-border operating models.
Comparing E-1 and O-1 Visas: Key Differences for Founders
Both the E-1 and O-1 visas are non-immigrant pathways used by international talent and business professionals to work and grow companies in the U.S. However, their foundations and application paths differ significantly.
Purpose and intent
- E-1 Visa: Designed for individuals carrying out substantial trade between the U.S. and their home country.
- O-1 Visa: Aimed at individuals with extraordinary ability in sciences, education, business, or arts, typically proven through awards, media, or a record of excellence.
Eligibility criteria
- E-1: National of a treaty country; engaged in qualifying trade; trade must be principal and substantial.
- O-1: No nationality restriction; must meet at least 3 out of 8 criteria demonstrating extraordinary ability, such as published material, high salary, or original contributions.
- Investment vs. extraordinary ability
- E-1: Focused on the volume and nature of trade, not on personal accolades. No specific minimum investment, but trade must be sustainable and ongoing.
- O-1: No trade or investment requirement, but strong documentary evidence of individual achievements is essential.
Visa terms and conditions
E-1: No need to go through USCIS processing. Applications can be submitted directly to the US embassy. Visas can be valid for up to 5 years, renewable indefinitely.
O-1: Filed through USCIS with standard or premium processing. Valid for 3 years, with extensions in 1-year increments.
When Should Founders Consider the E-1 Instead of the O-1?
Common founder scenarios
- A founder engaged in product or service trade between their home country and the U.S.
- A startup generating revenue from U.S. clients via cross-border services.
- An entrepreneur struggling to meet O-1’s strict evidentiary standards for extraordinary ability.
Countries With Treaty Eligibility
The E-1 visa is only available to nationals of about 50 treaty countries. Founders from treaty nations such as Canada, Germany, France, Japan, Australia, and the UK are eligible.
Advantages and Limitations of the E-1 Visa for Entrepreneurs
Advantages:
- No lottery or annual cap
- Renewable indefinitely
- Family benefits included. Spouses and unmarried children under 21 can accompany the E-1 visa holder. Spouses may apply for work authorization in the U.S.
- Fast processing through consulates.
- No need for VC funding, prestigious awards, or extraordinary recognition. Founders don’t need to demonstrate individual acclaim or secure high-profile investment to qualify.
Limitations:
- Requires principal trade with the home country. More than 50% of the business’s international trade must occur between the U.S. and the founder’s treaty country.
- Trade must remain ongoing and substantial.
- Restricted to treaty country nationals. Only citizens of countries that maintain a qualifying treaty of commerce and navigation with the U.S. are eligible.
- All business activity must be tied to the treaty trader enterprise. Running separate, unrelated ventures under the same visa can be problematic unless all qualify under the E-1 structure.
Real-World Use Cases: Founders Who Chose E-1
Many startup founders from treaty countries have used the E-1 visa to enter the U.S. legally and scale their ventures. For instance:
- A German logistics tech startup founder may use E-1 based on recurring cross-border freight services.
- A Canadian SaaS company founder may qualify due to licensing contracts and remote delivery to U.S. customers.
- A Japanese industrial design firm owner may obtain E-1 status due to component exports to the U.S. market.
Common Questions Founders Ask About the E-1 Visa
What is the E-1 visa success rate?
According to the U.S. Department of State data, E-1 visa approval rates at consulates have been consistently strong. For instance, in 2023 there were 5,806 approvals and 491 refusals, reflecting an estimated approval rate of approximately 92%.
Well-prepared applications with documented trade and treaty eligibility tend to have a high chance of approval.
Can a startup qualify for an E-1 visa?
Yes, especially if it can prove ongoing trade. Early-stage companies with U.S. clients, signed contracts, and structured operations stand a strong chance.
Does E-1 lead to a green card?
Not directly. Founders may later transition to EB-2 NIW or EB-5 depending on business growth.
Which countries are eligible for the E-1 visa?
Over 50 countries including Japan, Germany, UK, Canada, Australia, France, and South Korea.
How long can I stay on an E-1 visa?
Typically issued for 2–5 years, with unlimited renewals as long as the trade continues. It depends on the embassy.
Can I bring my family with me?
Yes. Spouses and unmarried children under 21 are eligible. Spouses can apply for work authorization.
Can I switch from an O-1 visa to an E-1?
Yes, but only if you meet all E-1 eligibility criteria, including nationality of a treaty country and evidence of qualifying trade. This typically involves a change of status request through USCIS or a visa application abroad.
How to Apply for the E-1 Visa as a Startup Founder
Step 1 – Check treaty eligibility
Confirm your country is on the list of E-1 treaty nations.
Step 2 – Prepare business documentation
Include proof of trade activity, contracts, invoices, and company structure.
Step 3 – Demonstrate substantial trade
Show that the majority of trade is between your home country and the U.S., and that the volume is consistent and sufficient.
Step 4 – File Form DS-160 and schedule an interview
Submit your visa application via the consular system and prepare supporting documents.
Step 5 – Attend visa interview and submit supporting documents
Present evidence of trade, company legitimacy, treaty eligibility, and intent to return.
Even if you choose not to retain a qualified immigration attorney to file your case, it is strongly recommended that you have your application and overall strategy reviewed by one. At a minimum, seek a professional review to avoid critical oversights.
Conclusion – Is the E-1 Visa a Strategic Option for You?
For startup founders from treaty countries, the E-1 visa offers a flexible, renewable, and founder-friendly path to build a U.S. presence. While it doesn’t suit every situation (especially for non-treaty country nationals), it provides a viable alternative to the O-1 visa for entrepreneurs with strong trade connections and a scalable business model.
If your startup is already conducting cross-border trade or plans to do so, and you seek a path without the evidentiary hurdles of the O-1, the E-1 visa is worth exploring.
The E-1 visa empowers startup founders to enter and grow in the U.S. market by focusing on real business activity, not personal acclaim or elite credentials. If you’re looking for a practical, founder-friendly path to build your company in the U.S., the E-1 visa is one of the most strategic tools available today.
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