It can, if the draw effectively returns committed funds to the investor, but there is no blanket ban on paying yourself. The questions are whether substantial capital remains genuinely committed and at risk, whether the enterprise is real and operating, and whether it can produce more than a minimal living.
Identify the compensation and its effect on business funding
Distinguish bona fide compensation for actual services from a distribution or repayment of capital, and document the legal and accounting treatment. Using startup funds for compensation is not automatically disqualifying, but its effect on the claimed investment and operating capacity must be assessed. Show the payment source and remaining resources without relabeling a withdrawal as payroll. Ownership alone still supplies no permission to perform work in the United States.
Explain the actual commitment and the basis of the operating forecast without treating every letter as guaranteed revenue. Explain the acquired business’s capacity under the nonmarginality standard rather than treating all group results as its own. E-2 requires treaty nationality of the investor and qualifying enterprise ownership, plus development and direction normally shown through 50 percent ownership or operational control.
The central error is equating a contractual right to purchase with completed shares, control, and investment.