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The International Entrepreneur Rule: America’s Best-Kept Secret for Startup Founders

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For decades, the United States has been the ultimate destination for ambitious entrepreneurs. Silicon Valley, New York, and Boston have incubated some of the most groundbreaking startups in history, attracting talent from around the globe.


Yet, despite this global appeal, the U.S. immigration system has long struggled to accommodate foreign founders who want to launch and scale their businesses on American soil.


Enter the International Entrepreneur Rule (IER) — an underutilized but powerful program that provides a much-needed alternative to the restrictive visa system. For foreign entrepreneurs with promising startups, the IER offers a golden ticket: a chance to build in the U.S. without the burden of H-1B lottery systems or investor-dependent visas.


How the International Entrepreneur Rule Works


The IER, first introduced under the Obama administration in 2017 and later revived by the Biden administration in 2021, allows foreign entrepreneurs to live and work in the U.S. for up to five years. Unlike traditional work visas, this program does not require employer sponsorship. Instead, it offers a form of "parole," a special immigration status that grants temporary residency based on a startup’s potential for growth and job creation.


To qualify, entrepreneurs must meet three key criteria:


  1. Founding a Startup: The entrepreneur must have established a company within the last five years.

  2. Securing Investment or Grants: The startup must have received at least $250,000 from U.S. venture capital firms, angel investors, or government grants.

  3. Significant Ownership and Role: The applicant must hold at least a 10% ownership stake and play a key role in the company’s operations.


If approved, entrepreneurs receive an initial 30-month stay, with the possibility of extending it for another 30 months if the startup continues to meet growth benchmarks. Spouses are also eligible to work in the U.S., making it an attractive option for families.


The Problem with America’s Startup Immigration System


For years, the U.S. has made it notoriously difficult for foreign founders to establish their businesses.


Unlike countries like Canada and the U.K., which have clear visa pathways for entrepreneurs, the U.S. lacks a dedicated startup visa. Instead, entrepreneurs have had to rely on workarounds like the O-1 visa (for individuals with "extraordinary ability") or the E-2 visa (which requires investment from a country with a specific treaty agreement). Neither option is ideal for a scrappy startup founder looking to build the next unicorn.


The IER is the closest thing the U.S. has to a startup visa. Yet, despite its potential, the program remains vastly underused. Since its reinstatement in 2021, only a few hundred entrepreneurs have applied.


The reasons? A combination of lack of awareness, bureaucratic hurdles, and uncertainty about the program’s long-term viability.


Why the IER is a Game-Changer


For foreign entrepreneurs, the IER is more than just a visa alternative—it’s an opportunity to scale in the world’s largest economy. Here’s why it matters:


  1. Access to the U.S. Market The U.S. remains the world’s most lucrative consumer and B2B market. Whether you're launching a fintech startup or a biotech firm, access to American customers, investors, and talent can be transformative.

  2. Proximity to Investors Silicon Valley alone accounts for nearly half of the world's venture capital investment. Being physically present in the U.S. allows founders to network, pitch, and raise funds more effectively.

  3. Job Creation and Economic Growth Research shows that immigrant entrepreneurs are key drivers of job creation. Some of the biggest American companies, including Google, Tesla, and PayPal, were co-founded by immigrants. The IER ensures that high-potential startups contribute directly to the U.S. economy.


The Challenges Holding Back the IER


Despite its promise, the IER faces significant roadblocks:


  1. Lack of AwarenessMany eligible founders simply don’t know the program exists. The U.S. government has done little to market the IER, leaving startup communities reliant on word-of-mouth.

  2. Bureaucratic UncertaintyBecause the IER was created through executive action rather than congressional law, it is vulnerable to political changes. The Trump administration attempted to dismantle it, and future administrations could do the same.

  3. Long Processing TimesThe application process can take months, making it difficult for founders who need to relocate quickly. Faster processing times would make the program far more attractive.



If the U.S. wants to maintain its status as the world’s startup capital, policymakers must take the IER seriously. Here’s how:


  1. Formalize the IER into LawA startup visa should not be at the mercy of changing administrations. Codifying the IER into law would provide stability and encourage more founders to apply.

  2. Improve Outreach and AwarenessThe U.S. government should actively promote the program through embassies, venture capital networks, and startup accelerators.

  3. Streamline the Application ProcessReducing bureaucratic red tape and ensuring faster approvals will make the program more attractive to top-tier entrepreneurs.



The International Entrepreneur Rule is one of the best-kept secrets in American immigration policy. At a time when global talent is more mobile than ever, the U.S. has a unique opportunity to attract the world’s best and brightest. But for the IER to reach its full potential, it needs visibility, stability, and efficiency.


For ambitious founders around the world, this program represents a rare opportunity to build in the land of opportunity. And for the United States, it’s a chance to ensure that the next wave of innovation happens on American soil.


The only question now is: Will the U.S. seize it?


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