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NIVERVILLE · E-2 FIELD GUIDE

Does a reduced purchase price automatically improve E-2 eligibility?

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THE DIRECT ANSWER

No. Assess the actual investment and enterprise requirements, including financing, commitment and control.

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A lower price may come with different obligations or rights. Do not select only the headline amount while ignoring terms affecting qualifying capital or the operating role.

The investor must develop and direct the enterprise, which is ordinarily shown by at least fifty percent ownership or by operational control through a management position or another mechanism recorded in the governing documents. What matters is that the enterprise is active and commercial, producing goods or services, with substantial capital genuinely committed and at risk, and prospects beyond minimal support for the family. Investor and enterprise must share treaty nationality—Canadian citizenship rather than Canadian permanent residence for that claim—with at least 50% treaty-national ownership, while the investor ordinarily establishes development and direction through at least 50% ownership, operational control, or other means. The remaining tests, committed capital, substantiality, a real non-marginal business and lawful funds, are decided by the purchase documents and financial records, not by the percentage. Non-marginality is assessed on the enterprise's present or future capacity, and a future capacity claim needs a stated period and evidence behind it rather than an open-ended assurance that trade will improve.