America COMPETES Act and Its Entrepreneurially-Oriented Reforms!

As of February 4th, the House of Representatives passed the America COMPETES Act of 2022, and it now sits awaiting its procedural process before making it a law. This Act has placed two considerable reforms in Immigration Policy at the forefront, giving foreigners a wider net of opportunities to immigrate to the United States alongside other notable economic reforms. While one of the proposed reforms involves integrating the widely known “Startup Visa” other countries tend to promote, the further reform seeks to exempt an entire category of Visa holders altogether from green card limits. 

The Startup Visa

Although the United States has had many different types of work Visas (W Visas) – from agricultural to religious employment –the country has consistently excluded the popular Start-up Visa that other countries heavily promote. The America COMPETES Act looks to indoctrinate U.S. Immigration Policy with the widely known Startup Visa while limiting it to only a category of individuals. If the Act becomes law, foreigners would be able to take advantage of the new W Visa if they comply with the following: 

(1) have an ownership interest of no less than 10% in a start-up business; 

(2) have a central role in the managing or operations of the said business;

(3) have the knowledge and skill to assist with the growth of the business; and

(4) said business has either within the first 18 months of the Visa petition received at least $250,000 from qualifying investors or $100,000 in qualifying government awards or grants. 

This option will provide foreign entrepreneurs an entirely new path towards immigration when considering this Visa. However, the Startup Visa may not be for everyone well-versed as an entrepreneur as it is still only a temporary Visa. The holder of the Startup Visa may obtain a 3-year extension of the Startup Visa if the holder:

(1) continues to maintain their central managing role;

(2) has at least 5% of ownership stake; 

(3) has received at least $500,000 in additional qualifying investments; and

(4) has created at least five qualifying jobs or generated at least $500,000 in annual revenue in the U.S. and averaged 20% in annual revenue growth.

Another benefit of the Startup Visa is that it will permit holders to adjust their status to a lawful permanent resident while avoiding green card backlogs. Holders will be able to make this change if they maintain the requirements to qualify for the Visa in addition to the following:

(1) has created at least ten qualified jobs; and

(2) has received at least $1.25 million in qualifying investments or generated $1 million in annual revenue in the two years following the Visa petition.

Permitting the holder to make this adjustment without backlogs indeed gives this Startup Visa a cutting-edge advantage over other countries that have a similar Visa of its kind. However, due to its temporary nature, considering other Visas, such as one of the longstanding investment Visas, may still be the ideal path for some applicants. Therefore, it is of utmost importance that you speak to an immigration attorney before proceeding down any path towards immigration.

Green Card Exemption for PhDs

The second immigration policy reform enumerated in the America COMPETES Act is the green card exemption for trained PhDs in the STEM (Science, Technology, Engineering, and Mathematics) field of research and development. This exemption will permit this category of individuals to seek employment with the opportunity to gain permanent residency. In addition, this exemption will also allow these individuals to avoid a green card backlog if they have earned a doctoral degree within the United States or a foreign institution with a degree that is equivalent and seek to enter the field of research of the same degree.

At first glance, the STEM field seems stringent and narrow in nature. However, the Act does give way to the STEM field by defining it broader than its usual definition to include numerous areas such as agricultural sciences, natural resources, conservation, and others. This will provide prospective petitioners with many areas of training to choose from when considering immigrating. The United States seeks to encourage those with doctoral training in these competitive fields to increase research and development within its borders and benefit individuals with such talent. However, it is crucial to note that this exemption is only offered to those with a doctoral degree and that the Act does not provide any exemptions to this requirement. 

Keep in mind that different Visas may or may not be available to you depending on your citizenship or nationality. Therefore, it is prudent that you speak to an experienced immigration attorney well in advance to determine which path is ideal for you. To explore these options and many more, please contact us by email at info@ecouncilinc.com or by phone at 1-866-724-0085 

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