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Franchise Connectors

Buying a U.S. Business or Franchise as a Foreign Investor: What We Handle, and What Your Attorney Handles

Buying a U.S. Business or Franchise as a Foreign Investor: What We Handle, and What Your Attorney Handles

A lot of the people who call us are buying a business in the United States from somewhere else. They usually arrive with two very different sets of questions tangled together: questions about a visa, and questions about a business. We can only help with the second kind, and this post is about where that line sits — because knowing which professional answers which question saves months.

What we do, and what we don’t

Franchise Connectors is a business brokerage. We find businesses and franchises, value them, negotiate them and take them through closing. We are not a law firm, we are not immigration consultants, and we do not advise anyone on a visa application, eligibility, or what an immigration officer will decide.

Your immigration attorney does that work. What we do is make sure the business underneath the application is a real, well-chosen, properly documented business — which is the part an attorney cannot do for you.

The E-2, in one paragraph, and then we stop

The E-2 is a nonimmigrant visa category for investors who are citizens of a country that holds a qualifying treaty with the United States. Not every country does, and the list changes. Whether your nationality qualifies, what counts as a sufficient investment, and what the process looks like for you are all questions for a licensed immigration attorney, and you should ask them before you start looking at businesses. We have seen people spend three months shortlisting franchises and then discover their situation needed a different approach entirely.

The business questions that actually land on us

Does this business fit the investment I am making?

Different concepts need very different amounts of capital, and the gap between the cheapest way into a brand and a realistic, fully funded opening is often large. We model the real number with you: the purchase or franchise fee, the build or the transfer, the equipment, the working capital to get through the first months, and the money you need to live on while it ramps.

Can I actually run it from where I am right now?

Some businesses tolerate an owner who is not yet in the country. Many do not. This is worth deciding early, because it eliminates whole categories before you waste time on them.

What documentation will my attorney need from the business?

Franchise brands produce a disclosure document, and existing businesses produce financials, leases, licenses and contracts. We gather that material in a form your attorney can work with, and we chase the parties who are slow about it.

Will the franchisor approve me?

If you are buying an existing franchise, the brand has to approve you as an owner — separately from anything immigration-related. Background, experience, capital, sometimes an interview and training. We qualify you against the brand’s criteria before you fall in love with a location.

Three things that slow these purchases down

  1. Starting with the business instead of the lawyer. Get the legal picture first. It shapes what you should even be looking at.
  2. Underestimating working capital. The purchase price is not the number that matters. The number that matters is what it takes to reach the point where the business pays you.
  3. Buying a brand you admire rather than one you can operate. The business you enjoy as a customer and the business that fits your experience are rarely the same business.

How we usually work together

You talk to your immigration attorney first. Then we have a thirty-minute call about capital, experience, where you want to be and what you want your week to look like. From there we shortlist, we introduce you to brands or to sellers, we set up calls with people already running these businesses, and we stay with you through the brand’s approval and the closing. We work in English and in Spanish.

Franchise Connectors is a business brokerage. We are not a law firm, an accounting firm, or an immigration services provider, and nothing in this article is legal, tax or immigration advice. Visa eligibility, requirements and outcomes are determined by U.S. authorities and should be discussed with a licensed immigration attorney.

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