gapkj Posted April 23, 2014 Report Share Posted April 23, 2014 Hi I am in US on a H1B visa. My friends are recently starting a business. I would like to be a partner in their business. I want to invest in the business. My friends are green card holders. Can I be a partner in the business? Which is the best thing to start? C-corp vs S-corp Vs LLC. I do not want to have any issues with immigration in future. Thank you Link to comment
jairichi Posted April 23, 2014 Report Share Posted April 23, 2014 Hi I am in US on a H1B visa. My friends are recently starting a business. I would like to be a partner in their business. I want to invest in the business. My friends are green card holders. Can I be a partner in the business? Which is the best thing to start? C-corp vs S-corp Vs LLC. I do not want to have any issues with immigration in future. Thank you You can be a passive investor but you cannot derive any income out of it. Link to comment
t75 Posted April 23, 2014 Report Share Posted April 23, 2014 If you and they are asking such questions, you all need to consult an attorney and CPA. You especially need to see an attorney to protect your investment since you cannot be involved in the business other than giving it money. Link to comment
JoeF Posted April 23, 2014 Report Share Posted April 23, 2014 Hi I am in US on a H1B visa. My friends are recently starting a business. I would like to be a partner in their business. I want to invest in the business. My friends are green card holders. Can I be a partner in the business? Which is the best thing to start? C-corp vs S-corp Vs LLC. I do not want to have any issues with immigration in future. Thank you You can be a passive investor, i.e., putting money into the business, and, if the business becomes successful, getting dividends. You have to stay out of the business otherwise, i.e., you can not work for the business, not even for free. You can not even take the trash out for the business... As for company form, that's also something that's not your decision to make. For an S-Corp, all shareholders have to be US citizens or Permanent Residents (except in a husband-and-wife scenario, where at least one has to be a US citizen or LPR.) Link to comment
boiler7up Posted May 20, 2014 Report Share Posted May 20, 2014 I understand that h1b can be a shareholder/passive investors/founder but cant work actively for the company. What is considered work - is modern day work considered work - example blogging, social media posting? is blogging on that company's blog termed as work? even if the blogging activity is unpaid and a guest blogger type role? Link to comment
JoeF Posted May 20, 2014 Report Share Posted May 20, 2014 I understand that h1b can be a shareholder/passive investors/founder but cant work actively for the company. What is considered work - is modern day work considered work - example blogging, social media posting? is blogging on that company's blog termed as work? even if the blogging activity is unpaid and a guest blogger type role? All that is work. Being a passive investor means putting money into a business and otherwise staying completely out of it. Think about it as investing. If you buy stock of a big company, you become a passive investor. You don't blog for the company, you don't post on the company's social media accounts. Unpaid or "guest blogger" doesn't matter. You can't do any of this. Link to comment
t75 Posted May 20, 2014 Report Share Posted May 20, 2014 If you cannot comply with the rules of your visa status, go home where you can do whatever you want. Link to comment
suhasmahajan85 Posted June 17, 2016 Report Share Posted June 17, 2016 Hi gapkj, Have you able to form LLC as passive investor It will be great if you share what worked for you? Any help will be appreciated. Link to comment
AS3957 Posted January 12, 2018 Report Share Posted January 12, 2018 On 4/23/2014 at 6:42 PM, JoeF said: You can be a passive investor, i.e., putting money into the business, and, if the business becomes successful, getting dividends. You have to stay out of the business otherwise, i.e., you can not work for the business, not even for free. You can not even take the trash out for the business... As for company form, that's also something that's not your decision to make. For an S-Corp, all shareholders have to be US citizens or Permanent Residents (except in a husband-and-wife scenario, where at least one has to be a US citizen or LPR.) For S-Corp, yes, all partner have to be US citizen. What about LLC? Can I on H1b be a passive partner in LLC? Link to comment
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