The E-2 lets a national of a country that has a qualifying treaty with the United States come to the country to develop and direct a business in which they have invested a substantial amount of money. It is built for active business owners, not passive investors, and it suits founders, buyers of an existing business, and franchisees who will be hands-on. It also extends to certain employees of the business and to the investor's spouse and children.
Two features make it attractive. There is no fixed minimum investment and no government-set job quota, unlike the EB-5 Immigrant Investor Program. And it can be renewed indefinitely in two-year periods, so a person can live in the United States on an E-2 for many years. The tradeoffs are that the E-2 is tied to one specific business, it does not by itself lead to a green card, and the applicant must intend to leave the United States when the status ends.
The legal basis sits at several levels. The statute is the Immigration and Nationality Act at section 101(a)(15)(E), codified at 8 U.S.C. 1101(a)(15)(E), which defines the treaty investor category and now also contains the citizenship-by-investment domicile rule discussed below. Two sets of regulations apply because there are two ways to obtain E-2 authorization: 8 CFR 214.2(e) governs a request made to USCIS from inside the United States, and 22 CFR 41.51(b) governs an application made to a consulate abroad. The Department of State's adjudication standards are in the Foreign Affairs Manual at 9 FAM 402.9, and USCIS still relies in part on legacy guidance (the former Adjudicator's Field Manual, Chapter 34) because its Policy Manual chapter for E-2 has not fully replaced it.
