IN THIS GUIDE · Evaluating an E-2 startup beyond a temporary rent concession
Start with the E-2 eligibility and application overview
Read the complete rent schedule
Identify when base rent starts, later increases and additional charges such as agreed operating expenses. Confirm whether the concession is unconditional or may be reclaimed if specified terms are breached. Obtain advice on the actual lease rather than assuming rent-free means cost-free. Keep the executed schedule beside the forecast so important obligations remain visible. Hypothetical example: an investor plans a mobile microscope-repair service and receives six months without base rent for a workshop. The decision is whether the projected repair volume can carry the later rent, payroll and vehicle costs, not whether the opening concession makes the first invoice look favourable.
Assess economic capacity after the concession ends
A startup may appear viable only because its first months omit a major expense. Model the period after full rent begins, using supportable sales and staffing assumptions. E-2 non-marginality concerns capacity beyond a minimal family living or significant economic contribution; a favorable introductory lease rate does not establish that capacity by itself. The signed lease, schedules, side letters and proof of deposit are the records that settle the real obligation. Put each charge on a month-by-month cash plan, including the point at which free rent ends, and test whether the business still has working capital after the committed costs are paid.
Document investor spending and landlord contributions accurately
Separate improvements paid by the investor from work funded by the landlord and from unused allowances. Explain who owns the improvements and what reimbursement conditions apply. The investment assessment concerns the applicant’s qualifying committed capital and commercial risk. Do not add a landlord’s advertised concession to the investor’s cash contribution as though the investor paid it. Separate a reversible negotiation from money already placed at business risk. Bank transfers, escrow terms, invoices, ownership documents and cancellation clauses show what has truly been committed. A first review can identify the next payment that would change the risk analysis, so it is not made by accident.
Keep the broader eligibility assessment in view
Review treaty citizenship, enterprise ownership, active development and direction, lawful funding and substantiality relative to the actual business. There is no universal E-2 minimum investment or fixed ten-job rule. A signed lease can be relevant evidence of commitment, but neither a large rent obligation nor possession of keys establishes every requirement. Decide whether the plan is supportable without treating projections as facts. Customer letters, supplier terms, hiring assumptions and the investor’s management authority should be tested together. If the later rent makes the enterprise marginal or removes the investor’s ability to direct it, changing the location may be the business decision before any immigration filing.
Prove the business is substantial and not marginal
E-2 status lets a national of a treaty country, which includes Canada, come to the United States to develop and direct a real business in which they have invested a substantial amount of their own money at risk.
Sources reviewed 2026-09-07. This guide covers a preparation focus; it is not an individual eligibility assessment.