International Entrepreneur Rule (IER): A Revitalized Option for Entrepreneurs

The International Entrepreneur Rule (IER) expands options for foreign entrepreneurs aiming to grow their startup in the United States

Understanding IER

The International Entrepreneur Rule (IER) was created to attract talented entrepreneurs from around the world and encourage them to establish and expand their businesses in the United States. It is a parole program that grants certain startup entrepreneurs a temporary period of stay in the United States. Entrepreneurs have to show that their stay in the U.S. would provide a significant public benefit. 

IER is not new. The program was initially introduced in 2017 during the Obama administration but faced legal challenges and was delayed from implementation. In 2021, the Biden administration finally implemented the program, expanding options for foreign entrepreneurs.

Although the rule went into effect in 2021, it has rarely been used in practice. Most immigration attorneys did not see it as a viable option due to its unclear requirements and delayed decisions from USCIS. Since FY2021, USCIS has received 94 applications, issued 26 approvals, and 28 denials.

So what has changed? On July 12, 2024, USCIS updated its website to provide additional clarity, including what qualifies as a startup, the amount of investment that is required, and a detailed FAQ. The new updates aim to streamline the application process, provide clearer guidelines, and create more opportunities for entrepreneurs to establish and grow their startups. The USCIS policy manual now provides examples of what documents can be submitted to show ownership and how founders can show a “central and active role” in a startup, among other guidance.

Key Requirements

• The entrepreneur must have a substantial ownership (at least 10% initially) in the startup business and have a central and active role in the business operations.
  
  
• The startup was formed in the United States within the past 5 years.
  
  

• The startup has substantial

  potential for rapid growth, shown through:
  • At least $264,147 in qualified investments from qualified US investors;
  • At least $105,659 in qualified government awards or grants; or
  • Alternative evidence of substantial potential for rapid growth.

Common Questions from Entrepreneurs 

How long can I stay?
You can stay here for an initial period of up to 2.5 years. You may be eligible for re-parole for an additional 2.5 years, with continued proof of funding, job creation, or revenue. 

What is the maximum amount of time I can spend in the U.S. under this program?
Five years total. Although the program does not provide a path for permanent residency, you may have other options to remain in the U.S. such as the O-1A nonimmigrant visa or National Interest Waiver (NIW) green card process.

I have co-founders, can we all apply for IER?
Up to 3 entrepreneurs per startup are eligible to apply. 

What is parole?
Parole is a temporary period of authorized stay granted to certain individuals seeking admission to the United States. 

Can my family members come with me?
You can bring your spouse and children. Spouses are eligible to apply for employment authorization after being paroled into the U.S.

How do I apply?
You can apply for this program from either abroad or within the U.S. To apply, you must submit a Form I-941, Application for Entrepreneur Parole, with all required documentation.