Why Buy an Existing Business?

$50K+

Entry Level

E-2

Visa Eligible

4,000+

Franchise Brands

60-90

Days to Close

Businesses with 5+ years history have 85%+ survival rates vs 80% failure for new startups in year 1

Three Paths to US Business Ownership

Buy a Franchise

Proven systems, training, marketing support. Ideal for first-time owners in new country.

$50K - $500K+

Acquire Existing Business

Independent business with customers and cash flow. More flexibility than franchises.

$100K - $5M+

Invest in Startup

Join as investor/co-founder. Higher risk but potential for significant returns.

$25K - $500K+

E-2 Visa Through Business Acquisition

If you are from a treaty country, buying a US business can qualify you for an E-2 investor visa.

Requirements

  • Treaty country nationality
  • Substantial investment ($100K+ typical)
  • Active management role
  • Business not marginal
  • Investment at risk

Benefits

  • Live and work in US
  • Spouse can work (EAD)
  • Children can study
  • Renewable indefinitely
  • No annual caps
I work with immigration attorneys to structure acquisitions that maximize E-2 approval chances

The Business Acquisition Process

1

Define Criteria

Industry, location, size

2

Search

Brokers, listings, direct

3

NDA + Review

Initial analysis

4

LOI

Non-binding offer

5

Due Diligence

30-60 day deep dive

6

Close

Finalize and transfer

Timeline: 3-6 months from search to close. Don't rush - thorough investigation protects your investment

Asset Purchase vs Stock Purchase

Factor Asset Purchase Stock Purchase
What You Buy Equipment, inventory, contracts Shares of company
Liabilities Generally don't transfer All liabilities transfer
Tax Basis Stepped up to price Carry over seller's basis
Best For Buyers (cleaner) Sellers (simpler)
I generally recommend asset purchases for foreign buyers - fresh start without unknown liabilities

Where to Find Businesses for Sale

Online Marketplaces

  • BizBuySell - 45,000+ listings
  • BusinessBroker.net
  • LoopNet - commercial properties
  • Franchise Direct

Other Channels

  • Business brokers (8-12% seller commission)
  • Search funds ($1M-$10M range)
  • Direct outreach to owners
  • Industry contacts

Special Considerations for Foreign Buyers

Financing

  • Most SBA loans require US credit
  • Seller financing common (30-50%)
  • All-cash or international bank
  • Prepare substantial down payment

Entity Structure

  • Form LLC/Corp 30-60 days before close
  • Obtain EIN
  • Open US bank account early
  • Shows commitment to seller

Visa Timing

  • Coordinate with immigration attorney
  • May close before visa application
  • Process takes 2-6 months
  • Consider contingencies

Wire Transfers

  • Source-of-funds documentation
  • Coordinate with banks both ends
  • Avoid compliance holds at closing
  • Plan transfer timing carefully