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WOOLWICH · E-2 FIELD GUIDE

Does investing in a family member's existing business make E-2 approval more likely?

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THE DIRECT ANSWER

Not automatically. The same nationality, control, funding, and enterprise requirements apply regardless of the personal relationship between the investor and the business's other owners.

Assess the business and the investor on the actual documented facts

Identify the investor's real decision-making authority within the business structure and confirm that the enterprise itself meets the substantiality and non-marginality requirements. Family trust is not a substitute for governance documents.

The consular standard asks whether the applicant is in a position to develop and direct the enterprise, and treats ownership of at least fifty percent, or operational control through a managerial position or other corporate device, as ordinarily sufficient. The investment must be substantial in proportion to the cost of this particular business; there is no fixed minimum, and a proportionality analysis compares the amount committed to the total price of establishing or buying the enterprise. Separately document Canadian citizenship rather than permanent residence, at least 50 percent treaty-national enterprise ownership, development and direction through ownership or operational control, and an irrevocably committed at-risk investment.