How to legally start your business on H1B


Sam_28

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Posted

What is the legal way of selling products online: EBay / Amazon etc. if you are on H1B Visa?

Can I form a LLC and hire someone to list and buy products?

My intent is to be an investor and be on board of directors panel to provide guidelines on how and from where to buy the products.

Say if all the above is true:

Then am I allowed to take certain percentage of my annual profit and pay to myself as dividends? - If yes: Then how?

Or do I just need to reinvest my profits back in my company?

Posted

On H1, you can only be a passive investor. You can not "provide guidelines."

You don't hire somebody to "list and buy products." You can only hire somebody to run the business. That includes all aspects of the business, including opening a bank account, filing company taxes, etc.

And you can not "take a percentage of your profits". First, they wouldn't be your profits, they would be the company profits. And second, the company CEO decides what to do with profits.

 

  • 3 months later...
Posted
On 11/18/2017 at 10:52 AM, JoeF said:

On H1, you can only be a passive investor. You can not "provide guidelines."

You don't hire somebody to "list and buy products." You can only hire somebody to run the business. That includes all aspects of the business, including opening a bank account, filing company taxes, etc.

And you can not "take a percentage of your profits". First, they wouldn't be your profits, they would be the company profits. And second, the company CEO decides what to do with profits.

 

Thank you Joe for your response!

So, following up on your second piece of information: 'And second, the company CEO decides what to do with profits.'

Q. If the company decides to pay you some amount from the profits as Quarterly Dividends: Then are you allowed to receive that? Just like when we get the dividends from the stocks? Or will it be different?

Posted

There are rules how these things work.

And you are putting the carriage in front of the horse. First, there would have to be profits. Most companies never make a profit and go under when they have run through their money. Look up "burn rate."

 

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