Last reviewed October 7, 2026 · By the NYBACS advisory team
Short answer
Yes — a foreign operating company can petition for a founder, owner or senior executive to open its new US office as an L-1A manager or executive. The person must have spent one continuous year abroad in a managerial or executive role with the company, the US entity must have secured office premises, and the petition must show the US operation can support a genuinely managerial position within one year. The first approval lasts up to one year.
Key takeaways
- Owning the company does not disqualify a founder: a US corporation or LLC is a separate legal entity and can petition for its owner, but a sole proprietorship cannot petition for its own owner.
- For a new-office L-1A, the qualifying year abroad must have been managerial or executive — specialized knowledge experience abroad is not enough.
- Initial approval is limited to one year; the extension must prove the US entity has been doing business, with staffing, wages and financial results.
- The foreign company must keep operating while the founder is in the US, so someone credible must run it in their absence.
- USCIS accepts that a manager opening an office will be hands-on at first, but expects real authority and a plan to hire staff who take over day-to-day work.
Why founders can use the L-1A — and the owner caveat
USCIS policy is clear that an L-1 beneficiary may own the foreign or US organization in whole or in part. Because a US corporation or LLC is legally separate from its shareholders or members, it can file an L-1 petition for its own owner. A sole proprietorship cannot, because the business and the owner are the same person — that would be an impermissible self-petition.
Two caveats apply to owner-founders:
- Title is not enough. Holding a ceremonial title such as President without primarily managing the business does not qualify.
- Temporary-assignment evidence. Where the beneficiary is an owner or major stockholder, the regulations require evidence that their US services are for a temporary period and that they will be transferred to an assignment abroad at the end. Because L-1 also allows dual intent, how this evidence is framed is a point for immigration counsel to handle carefully.
What the petition must show for a new office
A "new office" is a US operation that has been doing business through a related company for less than one year. For an L-1A new-office petition, the evidence must establish:
- Secured premises — sufficient physical space to house the new office, normally a signed lease or sublease in the US entity's name.
- Managerial or executive year abroad — one continuous year in the three years before filing, with executive or managerial authority, and a proposed US role with authority over the new operation.
- A path to a managerial role within one year, supported by:
- the proposed nature of the office — its scope, organizational structure and financial goals;
- the size of the US investment and the foreign company's financial ability to pay the founder and start doing business; and
- the organizational structure of the foreign company.
The petition must expressly request new-office treatment; otherwise USCIS may assess it as a regular petition requiring an already-operating US business.
Who runs the home company while the founder is away?
This question sinks more founder cases than it should. A qualifying organization abroad must continue doing business for the entire L-1 stay, and USCIS will look at whether the foreign company can operate without its key person. For a 10-person company where the founder makes every decision, that is a real issue.
Before filing, document:
- who takes over day-to-day leadership abroad (a co-founder, general manager or senior team), with appointment letters or board resolutions;
- the foreign company's continuing revenue, customers and payroll;
- how the founder's US role connects to the group strategy — for example, opening the US sales channel for an existing product line.
This evidence also protects the extension one year later, when the foreign company must still be a qualifying, active business.
A practical setup sequence
Order matters, because several records must exist before the petition is filed:
- Confirm the structure with counsel — usually the foreign company owns a majority of, and controls, a new US corporation or LLC.
- Form the US entity and issue shares or membership interests to the foreign parent; record the issuance in the stock ledger and board minutes.
- Obtain the EIN and open a US bank account where feasible.
- Capitalize the entity by wire from the parent and book it as a capital contribution — USCIS may ask for proof the ownership interest was actually paid for.
- Secure premises suited to the business plan, rather than a mailbox address.
- Prepare the business plan and hiring plan with staffing, wage and revenue assumptions for the first 12–24 months.
- Attorney files Form I-129, with the company's corporate, financial and premises evidence attached.
The founder may be heavily involved in operations during the first months; USCIS accepts this for a start-up office, but the plan should show who will take over operational work as the office grows.
Planning for the one-year extension from day one
The extension is where many new offices struggle. It requires evidence that the US entity has been doing business for the previous year, a statement of the founder's actual and proposed duties, a staffing description with the number of employees, their positions and evidence of wages paid, and the financial status of the US operation. In practice that means running US payroll, keeping monthly books and retaining contracts and invoices from the start. A US entity that spent its first year without employees, revenue or clean accounts will find it difficult to support a managerial extension.
Common mistakes to avoid
- Operating the foreign business as a sole proprietorship and assuming it can sponsor its owner.
- Using a virtual office or registered agent address as the "secured premises" for an operating business.
- Forming the US entity but never recording share issuance or wiring the capital, leaving ownership and control unproven.
- Filing without explaining who will manage the foreign company in the founder's absence.
- Treating the first year as a soft launch, then reaching the extension with no US hires, no payroll records and no revenue.
Documents and records to prepare
- Foreign company incorporation documents, shareholder register and recent financial statements and tax returns
- US certificate of incorporation or formation, bylaws or operating agreement, and stock ledger or membership records
- Board resolutions approving the US subsidiary, the investment and the founder's appointment
- Bank records evidencing the capital wired from the parent to the US entity
- Signed US lease or sublease in the US entity's name, with floor plan or photos if available
- Business plan with 12–24 month staffing, wage and revenue projections
- Founder's foreign payroll records, appointment letter and organization chart showing their managerial role
NYBACS 360° support
How NYBACS helps
- Forms the US subsidiary, issues shares to the foreign parent and prepares the minutes, ledger and resolutions the ownership evidence relies on.
- Records the parent's capitalization correctly in the US books and reconciles it to bank evidence.
- Builds business-plan financials — staffing, payroll costs, revenue and runway — for your attorney to review and adapt.
- Sets up US payroll, bookkeeping and monthly reporting so the one-year extension is supported by real records.
Frequently Asked Questions
Does the founder need to be on the foreign company's payroll?
The founder must have been employed by the foreign qualifying organization for a continuous year in a managerial or executive role. Payroll records, employment or appointment letters and local tax filings are the usual proof; dividends alone or informal arrangements are harder to rely on.
How much money must the foreign company invest in the US office?
There is no fixed minimum in the L-1 rules. The investment must be enough to secure premises, pay the founder and start doing business in line with the business plan, and the foreign company must show it can fund those commitments.
Can two co-founders both transfer on new-office L-1A petitions?
Each person needs a separate petition and must individually qualify. Two people claiming to be senior managers of a newly opened office with no staff invites scrutiny, so the business plan must show why each role is needed and who will do the operational work.
Can the founder start working in the US before approval?
Not in L-1 status. Business visitor activities are limited and do not include productive work for the US company. The timing of any US visits before approval should be agreed with immigration counsel.
