White House Is Planning To Let More Foreign Entrepreneurs Work In the US (recode.net)

Peter Hudson writes from a report via Recode: "After failing to get Congress to pass a 'startup visa' as part of broad immigration reform, the Obama administration is moving ahead with an alternative that would allow overseas entrepreneurs to live in the U.S. for up to five years to help build a company," reports Recode. "Already speaking out in favor of the new rules is PayPal co-founder Max Levchin: 'I believe that the most promising entrepreneurs from around the world should have the same opportunity I had -- the chance to deliver on their potential, here in America.' Levchin moved to the U.S. from the Soviet Union in 1991." There are three conditions that need to be met in order to be eligible to work in the U.S. under the new rule: the foreigner would have to own at least 15 percent of a U.S.-based startup, the foreigner would need to have a central role in the startup's operations, and the startup would need to have "potential for rapid business growth and job creation." The third requirement could be met by having at least $100,000 in government grants or $345,000 invested from U.S. venture investors. "Under [the International Entrepreneur Rule (PDF)] being formally proposed on Friday, the Department of Homeland Security would be empowered to use its existing authority to allow entrepreneurs to legally work in the country for two years, possibly followed by a one-time three-year extension," reports Recode. "While the public will have 45 days to comment, the rules aren't subject to congressional approval."

Comments

Why do we even have congress?

[guruevi]

"the rules aren't subject to congressional approval" - a lot of "laws" have passed since Bush onwards that are no longer subject to congressional approval. They're just a source of comedic entertainment any other time, why do we even have congress or a judiciary for that matter? It didn't pass congress properly, let's just make it a presidential order.

If anything, you should vote for Trump because he's too stupid to realize he can pull legalistic shit like this, perhaps "the people" can restore some of the balance and take it away from the attorneys-in-charge. That or Gary Johnson/Jill Stein - may not be ideal but anything is better than an extension of these Bush-Obama policies.

Either way, I'm sure this won't be abused. Come to the US, get $500k in funds, you just have to promise us to create some jobs in the next 5 years even though our own startups fail 90% of the time this won't be a problem for you. If anything, give ANY startup in the US access to the same funds. I sure could use them, I'm an immigrant even.

So basically visa's for sale

[Anonymous Coward]

For sale for about $345k plus whatever the 'service change' from any venture firm is; or if your prior donations got you some 100k in gov. grant goodies.

Same difference

[Archtech]

"...the Obama administration is moving ahead with an alternative that would allow overseas entrepreneurs to live in the U.S. for up to five years to help build a company..."

After which time they can outsource it to the Far East like normal American entrepreneurs. Here today, gone tomorrow! Thanks to the miracle of globalization.

Re:To get more lunatics, I suppose

[DogDude]

anyone who voluntarily moves to the US to found a company must be out of his mind.

As opposed to where else, Mr. Wizard? I can't think of a better, easier place to start a business in the entire world than in the US.

Re:How does it work now for foreign owners?

[Pulzar]

Are there rules in place now that prevent foreign investors from owning equity stakes in US companies (outside of sectors with existing statutory limits)?

No, you can invest as much as you want, but you can't work in US. That's the difference. Entrepreneurs want to start a company and do the work, and not simply invest in it.

A funny (and common, especially among Canadians who have summer homes in Florida) example -- you can buy a house in US and rent it out and earn money from it. But, you can't come over and do any maintenance work on your rental property -- you have to pay someone to do it.

Obviously, it's hard to enforce, but that's the law.