Breaking: Obama’s Startup Visa Alternative- Entrepreneur Parole Announced

This morning on August 26, 2016, The White House announced proposed new rules for International Entrepreneurs.  The announcement was followed by a conference call from key White House personnel from the White House Office of Science and Technology Policy.  The call discussed the rules and clarified some issues.

Below is a summary as published by USCIS.  I will be summarizing the 150 page rule in the next day or two, so please revisit this blog for more information.

Some key points that jump out for me are these at the outset:

  1. It will be indeed be a 2 year parole that can be renewed for 3 more years. Further modification may be possible.
  2. The spouse of the entrepreneur will be allowed to work in the US.
  3. No more than 3 founders can be paroled from one company.
  4. A new form I-941 to be introduced for application process.
  5. Need to have raised $345,000 from qualified investor.

I asked about whether we will see new rules on the National Interest Waiver for entrepreneurs soon, as there is a direct correlation to keeping entrepreneurs in the US.  We were told that those rules are forthcoming in the near future.

Timeline: We have 45 days to comment on the rules and I invite all readers to ensure you make your voice heard.

From USCIS summary:

The proposed rule would allow the Department of Homeland Security (DHS) to use its existing discretionary statutory parole authority for entrepreneurs of startup entities whose stay in the United States would provide a significant public benefit through the substantial and demonstrated potential for rapid business growth and job creation.  Under this proposed rule, DHS may parole, on a case-by-case basis, eligible entrepreneurs of startup enterprises:

  • Who have a significant ownership interest in the startup (at least 15 percent) and have  an active and central role to its operations;
  • Whose startup was formed in the United States within the past three years; and
  • Whose startup has substantial and demonstrated potential for rapid business growth and job creation, as evidenced by:
    • Receiving significant investment of capital (at least $345,000) from certain qualified U.S. investors with established records of successful investments;
    • Receiving significant awards or grants (at least $100,000) from certain federal, state or local government entities; or
    • Partially satisfying one or both of the above criteria in addition to other reliable and compelling evidence of the startup entity’s substantial potential for rapid growth and job creation.

Under the proposed rule, entrepreneurs may be granted an initial stay of up to two years to oversee and grow their startup entity in the United States.  A subsequent request for re-parole (for up to three additional years) would be considered only if the entrepreneur and the startup entity continue to provide a significant public benefit as evidenced by substantial increases in capital investment, revenue or job creation.

Much to come soon!

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