Those planning a move to the U.S. on a work visa usually run into the hurdles of the H-1B. The number of visas issued each year is capped — 65,000 under the main quota plus 20,000 for U.S. master’s graduates. Considering that, for example, in the 2024 fiscal year USCIS received around 781,000 applications, the outcome is determined by a lottery rather than the strength of one’s résumé. On top of that, on September 21, 2025, President Trump introduced a new one-time fee of $100,000 for each fresh H-1B petition. As a result, H-1B visas have become virtually out of reach for small and medium-sized businesses. The “path to America via H-1B” is now available almost exclusively through offers from the largest corporations.
What are the alternatives? For entrepreneurs and founders, the O-1 (“talent visa”) and EB-1A (green card for individuals with extraordinary ability) are well-known options. They are excellent routes — but they demand an impressive track record: awards, industry recognition, and strong publicity. For many, that is a challenge measured in years, not months.
This is where the L-1 visa comes into play — an intracompany transfer visa. You can use it if you already run a business outside the U.S.: set up an affiliated subsidiary in America and transfer yourself as an executive/founder (L-1A) or as a key specialist (L-1B). No lottery, no need for a “superstar” résumé — but with clear business requirements. In this article, we’ll break down how it works, what risks to consider, and why for many startups the L-1 has become a real alternative to H-1B and O-1, as well as a stepping stone toward the EB-1 green card.
What is the L-1 Visa?
The L-1 visa is a non-immigrant intracompany transfer visa. Its concept is straightforward: an international company sends one of its employees from a foreign office to the U.S. office of the same company (or its subsidiary/affiliate). There are two categories of L-1:
- L-1A – for executives and senior managers;
- L-1B – for employees with specialized knowledge unique to the company.
A key requirement is that the employee must have worked for the foreign company for at least one continuous year within the past three years. The U.S. entity filing the petition (Form I-129) must have a qualifying relationship — parent, subsidiary, branch, or affiliate — with the foreign office. Once approved, the employee receives an L-1 visa and is authorized to work only for the petitioning company in the specified role.
According to U.S. Department of State statistics, 76,671 L-1 visas were issued in 2023, far exceeding the 18,994 O-1 visas issued in the same year. This popularity highlights the L-1’s significance as a business migration pathway.
Eligibility Requirements for the L-1
To qualify for an L-1 visa, several conditions must be met:
- Two related companies.
The foreign employer and its U.S. counterpart (or newly created subsidiary) must have a qualifying relationship. It is possible to register a new U.S. entity specifically for the L-1, but it must secure office space and demonstrate operational readiness.
- Foreign work experience.
The transferee must have worked for at least 1 year in the foreign parent or affiliate within the last 3 years.
- Managerial or specialized role.
For L-1A, the applicant must have a managerial role — leading a department or project, making broad strategic decisions, and supervising other employees. For L-1B, the applicant must possess specialized knowledge unique to the organization, such as proprietary products, services, technologies, or business processes applied internationally.
- Financial and operational capacity.
The U.S. entity must be capable of supporting the transferee: maintain office premises, have a sufficient budget (typically recommended investments start at $80,000–100,000), employ staff, and show realistic growth potential. For a brand-new office, a detailed 3–5 year business plan with clear financial projections and hiring plans (often 4–6 employees in the first year) is expected. Supporting evidence may include a lease agreement, financial statements, and proof of the foreign parent’s operations and revenue.
Once approved, the L-1 visa is typically issued for up to 3 years (or 1 year if the U.S. entity is newly established). Extensions are possible: up to a 7-year maximum for L-1A (1+2+2+2) and 5 years for L-1B (1+2+2). To qualify for renewal, the company must demonstrate tangible growth — usually through new hires and stable business activity.
Advantages of the L-1 Visa
The L-1 visa offers a number of strong advantages, especially in light of the new restrictions surrounding H-1B:
- No quotas and no lottery.
The L-1 is not subject to annual caps, so any properly prepared petition can be approved. Decisions are based on business justification and meeting clear requirements. Recent statistics show consistently high approval rates — around 90–95%, depending on the category.
- No “extraordinary ability” requirement.
Unlike the O-1 (and especially EB-1), which require proof that you are among the top in your field, the L-1 does not demand international awards or media recognition. It is enough to be a valuable employee or executive with key business expertise.
- Straightforward setup for those with a business abroad.
If you already run a company or hold a senior management role in a small or medium-sized enterprise outside the U.S., you can establish a U.S. subsidiary and transfer yourself or an employee. Often this is more cost-effective than applying for an investor visa such as the E-2. The relatively low investment threshold (commonly starting at around $80,000 for office setup and operations) makes L-1 accessible for entrepreneurs.
- Family relocation through L-2.
Spouses and unmarried children under 21 of L-1 holders receive L-2 visas. Spouses can begin working in the U.S. almost immediately (once employment authorization is granted). This is a major advantage over many other visa types.
- Fast processing times.
L-1 petitions are typically reviewed by USCIS within 4–6 months, or within 15–30 days under premium processing. This is considerably faster than many immigration routes, particularly compared to the labor-intensive PERM certification required for H-1B.
- Pathway to a green card (EB-1C).
After one year of successful operation in the U.S., an L-1A holder may qualify for permanent residency under the EB-1C category (for multinational managers). The main requirements are that the U.S. company is functioning with staff in place and that the applicant holds an executive role — there is no need to prove “extraordinary ability” or undergo PERM labor certification. In practice, L-1A creates a streamlined bridge to a green card for international executives.
These advantages make the L-1 visa especially attractive for entrepreneurs who already own businesses abroad and see the U.S. as the next step for growth.
Drawbacks and Pitfalls of the L-1 Visa
Of course, the L-1 visa comes with its own challenges:
- Active business required.
Without a functioning company and real growth plans in the U.S., an L-1 is out of reach. If your foreign business is “sleeping” or you simply want to use the visa as a ticket to the U.S. without ongoing operations, it won’t work. There must be solid economic activity — trade, services, or production — and both the foreign and U.S. entities must show real business operations and growth.
- Organizational requirements.
For L-1A, you need to prove that you genuinely managed a team or division, reporting only to higher-level executives. If the foreign company has just a handful of employees and no clear hierarchy, an officer may decide the role was not truly “managerial.” Similarly, for L-1B, you must convincingly demonstrate specialized knowledge unique to the company.
- Setting up the U.S. company.
If there’s no existing U.S. office, you’ll need to establish one: lease premises, hire staff, invest initial capital. This takes both effort and money (commonly cited figures are $80,000–100,000 for a proper launch). You’ll also need a 3–5 year business plan with clear profitability projections and a hiring roadmap.
- Extension conditions.
In the first year of an L-1A for a new office, the U.S. entity must show growth: typically the creation of at least 6–8 jobs and steady revenue. You must prove there is an ongoing need for the foreign manager. If the business fails to deliver, the visa may end after just one year.
- Limited duration.
The maximum stay is 7 years for L-1A and 5 years for L-1B. Anyone planning to remain in the U.S. permanently must prepare early for a transition to a green card or another status.
- Tied to the sponsoring company.
While on L-1, you can only work for the employer that transferred you. You cannot freely switch to another company or start a new venture. Changing employers requires filing a new petition or pursuing a different visa, such as H-1B or O-1.
- Risk of denial.
As with any visa, errors or weak evidence can lead to rejection. Common pitfalls include insufficient proof of business activity (tiny office, no employees, superficial business plan) or vague job descriptions that fail to show managerial or specialized duties.
Steps to Obtain an L-1 Visa
Obtaining an L-1 visa requires a step-by-step approach. The key stages include:
1. Register a U.S. company.
Set up a legal entity (e.g., a corporation or LLC) in a business-friendly state (commonly Delaware, Nevada, etc.) and lease office space — USCIS requires proof of a physical presence.
2. Develop a business plan.
Prepare a detailed 3–5 year plan covering the company’s operations, financial projections, marketing strategy, and hiring roadmap (at least 4–6 employees in the first year).
3. Gather documentation.
Collect evidence of the qualifying relationship and financial viability: corporate charters for both companies, financial statements, employment contract, and payroll records (to prove continuous employment).
4. File the I-129 petition.
The U.S. company files Form I-129 with USCIS. Standard processing takes about 2–3 months, but premium processing (15 days for an additional fee) is available.
5. Consular interview.
After the petition is approved, the L-1 applicant attends a consular interview (visa fee ~$205). The officer will verify business details and eligibility.
If you’re looking for the optimal path to the U.S. and want a program tailored to your goals and business, the Relogate team is ready to help. We’ll assess your chances and guide you through every step of the process. Reach out — with us, your move to the U.S. can be as smooth as possible.