Top 2 Tips for a Smooth L1 Visa Renewal

Author: Gabriella Manolache, Esq.

OVERVIEW

     

    The L1 visa, often referred to as the intracompany  transferee visa, is a vital gateway for foreign companies to transfer employees as managers, executives, or specialized knowledge workers to work for a related company in the United States. Unlike the initial L1 process, there are several nuances and factors to consider when renewing the L1 visa, and we’re sharing some invaluable tips.

    Tip 1: Handle Ownership Structure Changes with Care

    First and foremost, caution must be taken  when contemplating any changes to the ownership structure of either the U.S. company or the foreign company after an  L1 application has been approved. While it’s not unadvisable  to make such changes, it’s essential to consult with an immigration lawyer before committing to any  alterations of the original structure. The reason for this caution is that specific changes  to ownership structures can potentially disrupt the qualifying relationship between the two companies.

    Remember, one of the fundamental prerequisites for the L1 visa is the existence of a qualifying relationship between the foreign company and the U.S. company. These qualifying relationships usually take the form of parent-subsidiary, branch office, or affiliate connections  and  hinge on the ownership structure of both companies. Any changes to these structures can jeopardize the qualifying relationship which must still be intact for the beneficiary to be eligible for an extension.

    Tip 2: Focus on Growth for L1 ‘New Office’ Applicants

    Let’s shift our attention to L1 ‘new office’ applicants. This particular category of the L1 visa applies when the U.S. company has been operating for less than a year. In such cases, USCIS typically approves an L1  visa for a one-year duration. This period aims to allow the beneficiary, who is often an L1A  manager or executive, to establish the need for their role and expand the operations of the U.S. business.

    To improve the  chances of a successful L1 renewal in these ‘new office’ situations, it is crucial to focus on two key factors during this first year:

    Revenue Growth:

    The U.S. company should aim to grow its revenue within the initial year of operations. While there may not be strict statutory requirements for specific revenue levels, demonstrating revenue growth makes it much easier to establish the need for a manager or executive during the renewal process.

    Workforce Expansion:

    Hiring employees within that first year and building a workforce in the U.S. strengthens the  argument for an L1 renewal. It provides evidence that the U.S. company has grown and continues to require  the services of a manager or executive.

    While these are not strict requirements, they significantly enhance your chances of a successful L1 renewal application. Demonstrating revenue growth and the establishment of a workforce makes it easier to convince USCIS that the L1 petition should be renewed.

    We’ve covered essential tips for L1 visa renewal applications. The first tip emphasizes the careful handling of ownership structure changes to ensure the qualifying relationship remains intact. The second tip, specifically for L1 new office applicants, underscores the importance of revenue growth and workforce expansion within the first year of operation.

    We hope you find these insights valuable. As always, thank you for trusting us with your immigration journey. We look forward to assisting you on the path to a successful L1 visa renewal.

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