U.S. Citizenship and Immigration Services is reviewing the International Entrepreneur Rule or IER investment and revenue threshold requirements. The review is required to be completed every three years. No fee changes are associated with the review.

IER Background

Published in 2017, the IER is a framework the Department of Homeland Security (DHS) uses through their parole authority. On a case-by-case basis, DHS has the authority to grant a period of authorized stay to qualifying noncitizen entrepreneurs. To qualify, entrepreneurs must prove they are providing a significant public benefit with rapid growth and job creation.

If parole is granted, the entrepreneur is given work authorization to work for their startup. The entrepreneur’s spouse is eligible to apply for employment authorization so they can work in the U.S. There is no backlog in the IER program. USCIS has the potential to quickly process new applications.

IER investment and revenue threshold

Per regulation requirements, the below updates are proposed:

  • Minimum of $311,071 in qualified investments from qualified investors for the initial application. The current requirement is $264,147.
  • A minimum of $124,429 of funding must be from qualified government awards or grants for the initial application. The current requirement is $105,659.
  • If the above investment minimums are not met, options to prove the start-up entity’s substantial growth and job creation are available.
  • Applications for an additional period of authorized stay must prove the startup entity has either:
    • Received additional funding of $622,142 from a qualified source. The current minimum is $528,293.
    • Created a minimum of five qualified jobs or reached an annual U.S. revenue of $622,142 with an average of 20% annual revenue growth. The current revenue minimum is $528,293.
  • A qualified investor must prove they have a history of substantial investment in startup entities who are successful. To prove this, investors must show that in the preceding five years, all of the below apply:
    • Investments in startup entities of a minimum of $746,571 in total. Investments must be made in exchange for equity or convertible securities that become equity. The current minimum is $633,952.
    • At least two startup entities the investor has supported created a minimum of five qualified jobs or a minimum of $622,142 in revenue, with a minimum annualized growth rate of 20%. The current threshold is $528,293 in investment

The final rule for the IER investment and revenue threshold will be published on July 25, 2024. The rule will go into effect on October 1, 2024. For applications submitted prior to October 1, 2024, the existing lower thresholds are in effect.

If you have questions about the Immigrant Entrepreneur Rule or the IER investment and revenue threshold update, contact us. ILBSG provides a comprehensive set of legal services for companies of all sizes, working with each client to ensure they get the right advice for their specific company.

IER International Entrepreneur Rule