United States: Final International Entrepreneur Parole Rule Published, In Effect As Of July 17, 2017

Effective July 17, 2017, a new immigration-related option will be available for international entrepreneurs. The Department of Homeland Security has finalized the much-awaited International Entrepreneur Parole Rule, which will grant certain qualifying individuals parole into the United States. Our team previously covered this Rule's proposal last August, as well as submitted our comment in reply to the proposed Rule.

The final version of the Rule includes some significant chances from the proposed version. Below we discuss some of its key requirements and limitations.

General Terms

  • Parole generally: USCIS will grant parole into the United States for a maximum aggregate period of five years. This maximum parole term is divided in half, with an initial maximum grant of 30 months followed by a second 30-month grant. Notably, parole is not a lawful nonimmigrant status. Individuals inside the U.S. cannot "change status" to parole, nor can one adjust status and obtain a Green Card within the U.S. following an employment-based petition. Accordingly, foreign travel is required to obtain parole or an employment-based Green Card.
  • Designed for entrepreneurs of "startup entities", not mere investors: The applicant must have "a central and active role in the operations" of a U.S. business entity that has been created within five years of an initial parole request. The applicant must be "well positioned, due to his or her knowledge, skills, or experience, to substantially assist the entity with the growth and success of its business."  The entity must also "have substantial potential for rapid growth and job creation."
  • Possess and maintain significant ownership of the startup entity: At the time of adjudication of the initial filing, an entrepreneur must have at least a 10% equity interest. Further, he or she must maintain at least 5% during the initial parole period. This ownership interest may be reduced further thereafter, provided that at all times there is some ownership interest.

Initial Parole

At the time of the initial filing, the startup entity must have attracted funding. The funding may come from a "Qualified investment" or a "qualified government award or grant."

  • Qualified investment: Within 18 months of filing, Entrepreneurs would need to attract bona fide investment from an U.S. individual or U.S.-owned entity, other than from family members and entities controlled by family members. The qualified investment must be at least $250,000 from one or more "qualified investors." Such investors must have within the past five years, 1) made investments in exchange for certain types of business interests of no less than $600,000 and 2) such investments must have, in at least two entities, created five jobs for U.S. workers or generated at least $500,000 in revenue growth with annualized average growth of at least 20 percent.  Accordingly, applicants bear the burden of proving the nationality / immigration status of their investors and investment entities, as well as the track record of such past entities' performance.
  • Qualified government award or grant: Alternatively, an entrepreneur may qualify if receiving at least $100,000 through one or more qualified government awards or grants. Such awards must be for economic development, R&D, job creation, or a similar grant, made by a U.S. federal, state, or local government entity.
  • Alternative Criteria: The Rule does allow some flexibility, as an entrepreneur who has only partially met the funding standards listed above may provide "other reliable and compelling evidence of the startup entity's substantial potential for rapid growth and job creation."


Prior to expiration of the initial parole period, an entrepreneur may apply for an additional parole period of up to 30 months. In such a filing, the entrepreneur must demonstrate continued ownership of the startup entity. As discussed above, this must be at least 5% ownership prior to filing for re-parole. Additionally, re-parole requires a showing of the following alternatives:

  • Additional Funding: In order to be granted another parole period, the startup entity may show it has received $500,000 in qualified investments or government grants/awards during the initial parole.
  • Job Creation: An additional parole term will be granted where the startup entity has created five full-time jobs for qualifying employees (U.S. citizens and lawful immigrants) during the initial parole period. Family members and independent contractors are not included in this count.
  • Annual Revenues: The startup entity may show $500,000 in annual revenue in the U.S. and average 20% in annual growth during the initial period.
  • Alternative Criteria: Similar to initial parole, the applicant may partially meet the above re-parole criteria and provide "other reliable and compelling evidence of the startup entity's substantial potential for rapid growth and job creation."


  • Material Change: Entrepreneurs are required to notify USCIS of material changes to the startup entity or their candidacy for parole. Such events include criminal charges, convictions, complaints, settlements, judgments, etc. brought by a governmental agency. Similar claims brought by private individuals exceeding 10% of the current assets of the entrepreneur or startup entity must also be reported. Further, liquidations, bankruptcy, the cessation of business, or loss of the entrepreneur's ownership or qualifying role is also considered to be a material change.
  • Number of Entrepreneurs: No more than three individuals may receive parole based on the same startup entity.
  • No Clear Path to a Green Card: The government has declined to state that obtaining parole and sustaining the startup will in and of itself qualify one for permanent residency. After the maximum five years, an applicant would need to depart the U.S. and obtain another status. However, parole may, in the right cases, dovetail well with an EB-2 National Interest Waiver following the Dhanasar decision.

The new Rule contains additional terms relating to the entrepreneur's family members and detailed procedural requirements. Entrepreneur parole presents a welcome addition to existing U.S. immigration options for entrepreneurs. While far from perfect, we look forward to the rule becoming effective in July. For additional information, contact us today.

To print this article, all you need is to be registered on Mondaq.com.

Click to Login as an existing user or Register so you can print this article.

In association with
Related Video
Up-coming Events Search
Font Size:
Mondaq on Twitter
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
Email Address
Company Name
Confirm Password
Mondaq Topics -- Select your Interests
 Law Performance
 Law Practice
 Media & IT
 Real Estate
 Wealth Mgt
Asia Pacific
European Union
Latin America
Middle East
United States
Worldwide Updates
Check to state you have read and
agree to our Terms and Conditions

Terms & Conditions and Privacy Statement

Mondaq.com (the Website) is owned and managed by Mondaq Ltd and as a user you are granted a non-exclusive, revocable license to access the Website under its terms and conditions of use. Your use of the Website constitutes your agreement to the following terms and conditions of use. Mondaq Ltd may terminate your use of the Website if you are in breach of these terms and conditions or if Mondaq Ltd decides to terminate your license of use for whatever reason.

Use of www.mondaq.com

You may use the Website but are required to register as a user if you wish to read the full text of the content and articles available (the Content). You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these terms & conditions or with the prior written consent of Mondaq Ltd. You may not use electronic or other means to extract details or information about Mondaq.com’s content, users or contributors in order to offer them any services or products which compete directly or indirectly with Mondaq Ltd’s services and products.


Mondaq Ltd and/or its respective suppliers make no representations about the suitability of the information contained in the documents and related graphics published on this server for any purpose. All such documents and related graphics are provided "as is" without warranty of any kind. Mondaq Ltd and/or its respective suppliers hereby disclaim all warranties and conditions with regard to this information, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. In no event shall Mondaq Ltd and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use or performance of information available from this server.

The documents and related graphics published on this server could include technical inaccuracies or typographical errors. Changes are periodically added to the information herein. Mondaq Ltd and/or its respective suppliers may make improvements and/or changes in the product(s) and/or the program(s) described herein at any time.


Mondaq Ltd requires you to register and provide information that personally identifies you, including what sort of information you are interested in, for three primary purposes:

  • To allow you to personalize the Mondaq websites you are visiting.
  • To enable features such as password reminder, newsletter alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our information providers who provide information free for your use.

Mondaq (and its affiliate sites) do not sell or provide your details to third parties other than information providers. The reason we provide our information providers with this information is so that they can measure the response their articles are receiving and provide you with information about their products and services.

If you do not want us to provide your name and email address you may opt out by clicking here .

If you do not wish to receive any future announcements of products and services offered by Mondaq by clicking here .

Information Collection and Use

We require site users to register with Mondaq (and its affiliate sites) to view the free information on the site. We also collect information from our users at several different points on the websites: this is so that we can customise the sites according to individual usage, provide 'session-aware' functionality, and ensure that content is acquired and developed appropriately. This gives us an overall picture of our user profiles, which in turn shows to our Editorial Contributors the type of person they are reaching by posting articles on Mondaq (and its affiliate sites) – meaning more free content for registered users.

We are only able to provide the material on the Mondaq (and its affiliate sites) site free to site visitors because we can pass on information about the pages that users are viewing and the personal information users provide to us (e.g. email addresses) to reputable contributing firms such as law firms who author those pages. We do not sell or rent information to anyone else other than the authors of those pages, who may change from time to time. Should you wish us not to disclose your details to any of these parties, please tick the box above or tick the box marked "Opt out of Registration Information Disclosure" on the Your Profile page. We and our author organisations may only contact you via email or other means if you allow us to do so. Users can opt out of contact when they register on the site, or send an email to unsubscribe@mondaq.com with “no disclosure” in the subject heading

Mondaq News Alerts

In order to receive Mondaq News Alerts, users have to complete a separate registration form. This is a personalised service where users choose regions and topics of interest and we send it only to those users who have requested it. Users can stop receiving these Alerts by going to the Mondaq News Alerts page and deselecting all interest areas. In the same way users can amend their personal preferences to add or remove subject areas.


A cookie is a small text file written to a user’s hard drive that contains an identifying user number. The cookies do not contain any personal information about users. We use the cookie so users do not have to log in every time they use the service and the cookie will automatically expire if you do not visit the Mondaq website (or its affiliate sites) for 12 months. We also use the cookie to personalise a user's experience of the site (for example to show information specific to a user's region). As the Mondaq sites are fully personalised and cookies are essential to its core technology the site will function unpredictably with browsers that do not support cookies - or where cookies are disabled (in these circumstances we advise you to attempt to locate the information you require elsewhere on the web). However if you are concerned about the presence of a Mondaq cookie on your machine you can also choose to expire the cookie immediately (remove it) by selecting the 'Log Off' menu option as the last thing you do when you use the site.

Some of our business partners may use cookies on our site (for example, advertisers). However, we have no access to or control over these cookies and we are not aware of any at present that do so.

Log Files

We use IP addresses to analyse trends, administer the site, track movement, and gather broad demographic information for aggregate use. IP addresses are not linked to personally identifiable information.


This web site contains links to other sites. Please be aware that Mondaq (or its affiliate sites) are not responsible for the privacy practices of such other sites. We encourage our users to be aware when they leave our site and to read the privacy statements of these third party sites. This privacy statement applies solely to information collected by this Web site.

Surveys & Contests

From time-to-time our site requests information from users via surveys or contests. Participation in these surveys or contests is completely voluntary and the user therefore has a choice whether or not to disclose any information requested. Information requested may include contact information (such as name and delivery address), and demographic information (such as postcode, age level). Contact information will be used to notify the winners and award prizes. Survey information will be used for purposes of monitoring or improving the functionality of the site.


If a user elects to use our referral service for informing a friend about our site, we ask them for the friend’s name and email address. Mondaq stores this information and may contact the friend to invite them to register with Mondaq, but they will not be contacted more than once. The friend may contact Mondaq to request the removal of this information from our database.


This website takes every reasonable precaution to protect our users’ information. When users submit sensitive information via the website, your information is protected using firewalls and other security technology. If you have any questions about the security at our website, you can send an email to webmaster@mondaq.com.

Correcting/Updating Personal Information

If a user’s personally identifiable information changes (such as postcode), or if a user no longer desires our service, we will endeavour to provide a way to correct, update or remove that user’s personal data provided to us. This can usually be done at the “Your Profile” page or by sending an email to EditorialAdvisor@mondaq.com.

Notification of Changes

If we decide to change our Terms & Conditions or Privacy Policy, we will post those changes on our site so our users are always aware of what information we collect, how we use it, and under what circumstances, if any, we disclose it. If at any point we decide to use personally identifiable information in a manner different from that stated at the time it was collected, we will notify users by way of an email. Users will have a choice as to whether or not we use their information in this different manner. We will use information in accordance with the privacy policy under which the information was collected.

How to contact Mondaq

You can contact us with comments or queries at enquiries@mondaq.com.

If for some reason you believe Mondaq Ltd. has not adhered to these principles, please notify us by e-mail at problems@mondaq.com and we will use commercially reasonable efforts to determine and correct the problem promptly.