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Two Mexican citizens established a US company to import fresh produce from Mexico and sell it in the U.S. and Canada. Each member held 50% interest in the US company. Each member invested “substantial” amount of capital and put it “at risk”. The company rented office space and and warehouse, obtained a license for the US Department of Agriculture, a Blue book rating, registered trademark, hired customs broker and incurred marketing and warehouse expenses. The company created job opportunities for US workers – hired a full time sales representative and started interviewing for other positions. During its first season, the company generated very healthy profit and took steps to increase its marketing efforts to increase sales and visibility.
We established that the trade is already in existence, it is “substantial” and principally (more than 50% of total volume of international trade) between the US and Mexico.
Please note that this article does not constitute a legal advice. We simplified the law to outline one treaty trader (E-1) visa case study. If you would like to obtain a treaty trader (E-1) visa, call our experienced E-1 visa attorney at 480-425-2009 or schedule your consultation online.
Our client imports salt lamps and other products from his country. We applied for premium processing of the change of his status and his case was approved in 13 days.
In order to obtain E-1 visa or status, the following has to be established: (i) a treaty exists; (ii) the individual or business possesses the nationality of the treaty country; (iii) the activities the foreign national will engage in constitute trade; (iv) the trade is substantial; (v) the trade is principally between the US and the treaty country; and (vi) the foreign national intends to depart the US when the E-1 status terminates.
In this case, our client’s country has a treaty with the US. The import of such product constitute trade. He imports the product only from his country, so the trade is principally between the US and his country and the trade is “substantial”. “Substantial” means an amount of trade sufficient to ensure a continuous flow of international trade between the US and his country. Our client has already shipped three containers of the product to the US, has relationships established and plans to shipped future regular shipments, so we were able to show that the trade is substantial.
Please note that this article does not constitute a legal advice. We simplified the law in order to outline the E-1 process. If you would like to discuss if you may qualify for E-1 status, call our experienced E-1 attorney at 480-425-2009 or contact an experienced E-1 attorney via our website to schedule a consultation. We will be happy to discuss how we can help you obtain your E-1 visa.