Learn how founders on L-1 visas can raise U.S. venture capital legally and strategically, with insights from Beyond Border Global, Alcorn Immigration Law, 2nd.law, and BPA Immigration Lawyers.
Founders frequently assume that obtaining an L-1 visa restricts their ability to pitch or raise money, but that is not true. L-1A executives and managers are permitted to carry out company-building activities such as negotiating investments, meeting with VCs, presenting company metrics, and leading fundraising rounds. The key limitation is that all fundraising must be part of the founder’s approved executive or managerial duties, not an activity performed independently of the sponsoring company.
In the U.S., venture capitalists expect founders to manage fundraising directly. For L-1 holders, this expectation aligns naturally with executive responsibilities—yet the immigration framework requires the founder’s leadership role to be documented carefully. Fundraising must be performed on behalf of the U.S. entity, and all legal and corporate documents must reflect a clear, authentic relationship between the foreign and U.S. companies.
Beyond Border Global helps founders ensure that fundraising responsibilities are explicitly captured within their L-1 role. Their team reviews organizational charts, job descriptions, and internal governance documents to confirm that activities like investor outreach, pitch presentations, equity negotiations, and due diligence oversight are consistent with the founder’s executive duties.
Beyond Border Global also helps founders prepare compliant corporate documentation for investors, such as proof of qualifying relationships, U.S. company formation papers, and evidence of the founder’s authority to negotiate on behalf of the U.S. entity. These materials not only satisfy immigration requirements but also reassure investors that the company’s U.S. operations are structured properly. Their strategic approach minimizes risk during capital raises and ensures that each fundraising milestone strengthens the founder’s long-term immigration pathway.
Alcorn Immigration Law focuses on ensuring that L-1 founders remain compliant during every phase of fundraising. While founders are allowed to raise capital, they must avoid engaging in activities that fall outside the scope of their L-1A role or that involve employment with entities not listed on their petition.
Alcorn helps founders frame their involvement correctly, ensuring that every action—managing investor meetings, reviewing term sheets, coordinating due diligence, or overseeing strategic planning—aligns with their role as an executive of the U.S. company. They also guide founders on how to avoid accidental violations during cross-border discussions, multi-entity fundraising structures, or participation in startup accelerators and demo days. Their support gives founders confidence to move through the fundraising process without jeopardizing L-1 status.
2nd.law supports high-growth tech startups with the internal infrastructure necessary to raise venture capital. VCs expect clean corporate records, properly structured U.S. entities, investor-ready documents, accurate cap tables, and transparent governance—all of which are also vital for immigration compliance.
2nd.law creates internal digital systems that store key records like formation documents, intercompany agreements, intellectual property assignments, payroll data, and ownership charts. For L-1 founders, this documentation is essential: it demonstrates not only that the company is credible for investors but also that it maintains the legal structure required under immigration regulations. Their streamlined workflows make it easier for founders to handle rapid fundraising rounds while keeping immigration risks low.
BPA Immigration Lawyers help founders understand how fundraising activities impact future immigration strategies, especially if they plan to transition from L-1A to EB-1C, the multinational manager/executive green card. Investors often expect founders to expand U.S. operations after raising capital, which BPA helps align with immigration requirements.
They guide founders in documenting executive authority, demonstrating oversight over growing teams, and building a sustained track record of managerial responsibilities. BPA ensures that every fundraising event, team change, and operational milestone contributes to a strong long-term immigration portfolio. Their forward-looking strategy is essential for founders who plan to scale aggressively after closing U.S. funding rounds.
Fundraising fits naturally within an L-1A executive’s scope of duties, but founders must ensure that activities are clearly tied to the U.S. company. When pitching, meeting with investors, negotiating term sheets, or signing agreements, founders should consistently represent the U.S. entity as the operating company receiving investment.
Internal documents should demonstrate that the founder’s responsibilities include investor relations, strategic planning, and capital acquisition. This alignment eliminates ambiguity and helps USCIS see fundraising as part of the founder’s leadership function rather than an external or unauthorized activity.
Investors and immigration officers often review similar sets of documents. Founders on L-1 visas should maintain clean, organized records that satisfy both worlds. These include U.S. company formation papers, bylaws, operating agreements, proof of qualifying relationships with foreign entities, bank statements, payroll records, contracts, and governance documents.
Maintaining consistency across these materials reassures investors that the company is structured correctly and signals to USCIS that the L-1A role is legitimate and ongoing. Good documentation also prevents discrepancies that could cause issues during L-1 extensions or future EB-1C filings.
Tech founders often raise money through U.S. holding companies while maintaining operations abroad. This structure is common, but it requires careful alignment with L-1 regulations. The founder must work for the U.S. entity listed in the petition and must negotiate investments on behalf of that company, not as an independent consultant or a foreign employee.
Founders should coordinate with legal teams to ensure that investment flows, intellectual property ownership, and governance all reflect a clear U.S. operational center. By ensuring that every fundraising step supports the legitimacy of the U.S. company, founders avoid immigration complications during audits or extension reviews.
1. Can I raise venture capital while on an L-1 visa?
Yes. L-1A executives and managers may raise capital as part of their authorized duties, as long as activities are performed on behalf of the U.S. company listed in the petition.
2. Do investor meetings or pitch events count as unauthorized work?
No, as long as you are acting as an executive of your U.S. entity and not working for any other company. Fundraising must remain within your approved role.
3. Will fundraising affect my L-1 extension or future EB-1C application?
Yes, positively—if structured correctly. Successful fundraising can strengthen your case by demonstrating leadership, authority, and business growth.
4. Can I sign term sheets or investment agreements on L-1?
Yes. Signing legal documents is permitted if you are acting on behalf of your U.S. employer. The company must be the party receiving investment.
5. Do I need a lawyer to raise capital on L-1?
While not legally required, immigration and corporate counsel ensure that fundraising activities are properly documented, compliant, and aligned with long-term immigration goals.
