The United States has a new rule called the International Entrepreneur Rule (IER) for people from other countries who want to start and grow their businesses in the United States.
The goal of the International Entrepreneur Rule (IER) is to help entrepreneurs from all over the world, including Nigeria, to help the US economy by starting and growing their businesses here.
People from other countries who want to use this rule have to meet certain requirements and follow a process to apply. If they are approved, they can stay in the US for a short time to work on their businesses, and help create new jobs and bring new ideas.
Here’s what you need to know about the IER, who can apply, and how to go through the application process.
What is the International Entrepreneur Rule (IER)?
The IER is a program that lets certain foreign business owners live and work in the US for a short time to build their companies. They can stay for up to five years.
Here are the main things you need to know:
- Ownership: The business owner must own at least 10% of the startup when they first apply, and at least 5% when they reapply.
- Startup Requirements: The business must be less than five years old and set up in the US.
- Investment: The business must have received at least $250,000 from US investors or $100,000 in government grants or awards.
The Department of Homeland Security (DHS) can give ‘parole’ status to entrepreneurs on a case-by-case basis. This means they can work in the US, but only for their own company.
The entrepreneur’s family, including their spouse and children, can also come to the US. The spouse can apply for a work permit once they are in the US.
Who Can Apply for IER?
To apply for IER, business owners and their companies must meet some basic requirements:
- Where You Live: The business owner can be living in another country or already in the US.
- When the Business Was Formed: The business must have been set up in the US within the last five years.
- Investment and Grants: The business must show at least $264,147 in investment from investors or at least $105,659 in government grants or awards.
- Parole Period: The business owner can get an initial stay of up to 2.5 years, and they can reapply for another 2.5 years if they meet certain conditions like getting more funding, creating jobs, or hitting revenue goals.
- Number of Entrepreneurs: Up to three business owners from the same startup can apply for parole under the IER.
Detailed Criteria for Business Owners and Startups
- Ownership Interest: The business owner must have a significant ownership in the startup.
- Qualified Investments: The investments must be in forms like equity, convertible debt, or other security that can be converted to equity.
- Growth Potential: The business should show that it can grow quickly and create jobs.
Application Process
To apply, follow these steps:
- Business owners must fill out Form I-941 for Entrepreneur Parole and pay a $1,200 fee.
- Their spouse and children (unmarried and under 21) must fill out Form I-131, Application for Travel Document, with a $630 fee and supporting documents.
- There’s no option for premium processing, but you can request fast processing in special cases.
- If approved, business owners outside the US must go to a US embassy or consulate. If they’re already in the US, they’ll receive travel documents by mail and then need to leave and re-enter the US.
- Entrepreneurs approved under the IER can work for their startup without needing a separate work permit. However, it doesn’t count as a visa and only allows one-time entry into the US. They can apply for ‘advance parole’ for further travel needs.