International Entrepreneur Rule

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The International Entrepreneur Rule is a discretionary U.S. immigration policy allowing qualifying foreign startup founders temporary parole to build their companies and contribute to economic growth.
What are the main aims and objectives?

The IER aims to attract and retain foreign entrepreneurial talent capable of establishing high-growth startups that produce substantial public benefits including innovation, job creation, and economic development. It addresses gaps in immigration law by providing a specific, albeit temporary, legal pathway for entrepreneurs who lack traditional visa options. By enabling these entrepreneurs to start and scale businesses in the U.S., the policy intends to amplify contributions of immigrant-led startups to the economy and maintain U.S. global innovation competitiveness.

How does the program work?

The IER permits foreign entrepreneurs who meet specific eligibility criteria to apply for discretionary parole from U.S. Citizenship and Immigration Services (USCIS). To qualify, entrepreneurs must hold at least 10% ownership of a U.S.-based startup formed within the past five years, actively participate in its operations, and demonstrate that the startup offers substantial potential for rapid growth and job creation. Proof of significant public benefit can be established through qualified investment (at least $311,071 as of 2024), government grants ($124,429 or more), or other compelling evidence such as demonstrated revenue growth or market traction. 

Entrepreneurs granted parole are authorized to stay in the U.S. up to 30 months initially, with a possible 30-month extension contingent on meeting higher thresholds like job creation, additional investment, or revenue growth. Upon approval, their spouses and minor children can also receive parole status, with spouses eligible to apply for employment authorization. 

Application involves submitting Form I-941 with evidence of ownership, business activity, investment, and personal details, paying filing and biometrics fees. USCIS adjudicates applications on a case-by-case discretionary basis, and parole does not constitute a permanent visa or path to permanent residency—parole may be revoked anytime. The program is designed as a flexible, non-legislative immigration tool to offer a viable stay option to entrepreneurs ineligible for existing visa categories.

What is the overall cost?

There is no information about the cost of the IER. 

How was it implemented?

The IER was developed during the Obama administration as a regulatory solution to the absence of a startup visa. The proposed rule was published in August 2016, followed by a public comment period. The final rule was promulgated in January 2017 with a scheduled implementation for July 2017. However, the Trump administration delayed the rule’s startup multiple times, intending to rescind it. Legal challenges by the National Venture Capital Association and others culminated in a court ruling in December 2017 requiring USCIS to implement the rule. USCIS began accepting parole applications by early 2018 but faced continuing political uncertainty as a rescission rule was proposed but never finalized. The Biden administration withdrew the rescission proposal in May 2021, committing to reinstating the program and adjusting investment thresholds for inflation in 2024. Over this time, USCIS has gradually refined application procedures, but the program has struggled with low application volumes and inconsistent policy signals. Regulatory implementation relies on standardized application forms, case-by-case discretionary adjudication, continuous guidance updates, and interagency coordination.

What impact has been measured?

The IER has experienced very limited uptake since its inception. Data indicates an average of only 19 applications per year from 2018 to 2023, far below the estimated eligible population of nearly 3,000 entrepreneurs annually. Among the 94 applications filed during this period, approximately 28% were approved, with 28 denials and 19 withdrawals. Contributing factors include regulatory uncertainty due to delays and rescission attempts, stringent investment requirements exceeding $300,000, significant processing costs and wait times, and limited awareness among potential applicants.

What lessons can be learned?
  • The absence of legislative visa creation restricts the IER to a discretionary parole policy vulnerable to administrative changes and political shifts.
  • Low application and approval rates highlight regulatory uncertainty and insufficient outreach, limiting entrepreneurial benefits.
  • High investment and revenue thresholds exclude many early-stage startups that lack venture or grant capital.
  • The temporary parole status offers no direct pathway to permanent residency, leading to uncertainty among beneficiaries.
  • Processing costs and delays discourage qualified entrepreneurs, particularly from less wealthy countries or ecosystems.
  • Case-by-case discretion may yield uneven adjudications and uncertainty regarding eligibility criteria interpretation.
  • The program does not provide complementary support services such as funding, mentorship, or market access assistance.
  • Legal advocacy plays a critical role in program continuation, underscoring the risks of administrative policy reliance.
  • Future policies might benefit from congressional action creating a statutory startup visa with clearer eligibility and permanence.
Notes + Additional Context

On May 11, 2021, the Wall Street Journal reported that the United States still has not established a startup visa for entrepreneurs even though the idea enjoys broad bipartisan support. As a result, foreign entrepreneurs must apply through other types of visas. For example, foreign entrepreneurs have moved to the U.S utilizing student visas (Elon Musk, Tesla and SpaceX), family members (Pierre Omidyar, eBay), specialized workers (Adi Tatarko, Houzz), and refugees (Sergei Brin, Google).

CURATED BY

Cristina Fernandez

Director for Knowledge + Programming
Global Entrepreneurship Network
United States