Read the general pathway comparison overview
A Candiac employee considering buying a U.S. business should compare the proposed ownership and work with the current group structure. An existing job abroad and a proposed investment answer different eligibility questions. Hypothetical example: a musical-instrument distributor offers an employee a stake in an unrelated U.S. repair business. The first decision is whether the proposed work remains an intracompany transfer or whether the new ownership calls for a separate investment analysis. Make the comparison before a purchase agreement or revised job description fixes a story that no longer fits. Hypothetical example: the founder of a microgravity-materials testing company has worked for its Canadian entity and is negotiating to buy an unrelated U.S. laboratory. The decision is whether records support a transfer before the purchase or an investment case afterwards, because ownership and employment facts cannot be blended.
Test whether a qualifying transfer still exists
L requires an eligible corporate relationship, continuing qualifying operations, the relevant continuous foreign employment and a qualifying U.S. role. Buying an unrelated enterprise personally does not automatically make it an affiliate of the current employer. Confirm that the worker completed a qualifying continuous 12-month foreign role during the three years before the request and identify the capacity of the U.S. job. A managerial or executive L-1 stay has a seven-year limit; specialized-knowledge L-1 status has a five-year limit. Use payroll, tax records, contracts and a dated duty description to test the foreign-employment claim. The proof must account for twelve qualifying months in the relevant three-year lookback and a U.S. role fitting the selected L classification. L-1A cannot exceed seven years in total, and L-1B cannot exceed five; a later transaction does not restart either limit.
Review the investment route on its own conditions
E-2 requires the relevant treaty nationality, qualifying ownership, substantial lawful at-risk funds and a real nonmarginal operation. A principal investor must develop and direct the enterprise. Prior employment is not a substitute for those investment conditions. Trace the investor’s lawful funds to a commitment that is exposed to commercial loss, then test whether the business will operate beyond a marginal level. The investor must develop and direct that enterprise; buying a share certificate alone is insufficient. Treat investment as a present commitment, not an aspiration to buy later. Funds must be irrevocable, exposed to commercial risk, substantial in relation to the venture and tied to an enterprise that is not marginal. Review the purchase agreement, escrow terms, bank trail, operating plan and decision-making authority together. That record shows whether the investor will develop and direct the business rather than hold a passive interest.
Keep the before-and-after structure visible
Provide a clear ownership account before and after the transaction, plus the proposed duties. If the acquisition changes the intended route, assess that change before relying on earlier advice. Neither a purchase contract nor an employment title decides the category by itself. Prepare two structure charts and two duty descriptions when both paths are under consideration. The applicant must decide which entity will employ them, who controls it, and whether the intended work matches the route before funds or contracts make the choice harder to change. Choose the route before documents describe the applicant as both an employee transferee and an owner-operator without explaining how either position works. The selected route determines which facts must be true on the relevant filing or admission date. If negotiations change ownership, duties or the employing entity, update the evidence set before relying on an earlier assessment.
What else is on your mind?
Does being a business owner or director qualify me for L-1A?What employment history should an L-1 transfer review cover?What makes a new-office L-1A case different?How should an owner compare L-1 and E-2?Editorial source review: 2026-09-07. General preparation guidance, not an individual assessment.