Intracompany Transfers

The L-1A for Executives and Managers

The L-1A visa classification is for executives and managers of international companies, allowing them to transfer these high-ranking employees to the United States. The L-1A classification is valid for a maximum of seven years, is a dual intent visa, and provides a path to permanent residence through the EB-1-C green card. Another benefit of L-1A status is that spouses on the L-2 visa are eligible for work authorization.

Qualifying for L-1A status requires that both the beneficiary and the petitioning employer meet certain requirements. The U.S. employer must establish a qualifying relationship with a foreign entity, be it a parent, branch, subsidiary, or affiliate. Both the U.S. employer and the foreign entity must be actively engaged in business – and must remain so while the beneficiary is working in the U.S. The employment offered in the United States must be in a sufficiently executive or managerial capacity. The Beneficiary must be able to show that they were previously employed by the foreign entity for at least one year before they can receive an L-1A visa. Also, the must show that their employment overseas was in an executive or managerial capacity.

Although these five requirements seem straightforward, the L-1 visa is one of the most prevalent nonimmigrant petitions filed with USCIS and the data shows that one quarter of all L-1 petitions are denied; the AAO publishes about eighteen appellate cases per month to provide insight into the shortcomings in some of the filings. Although each of the five requirements make routine appearances in the appellate analyses, by far the most critically important requirements are establishing the executive or managerial employment both in the U.S. and abroad. 

Both executive and managerial capacity are strictly defined by the regulations. Documenting this requires extremely detailed support letters that clearly explain the company’s business, operations, staffing, and subordinates, in addition to the Beneficiary’s daily duties. All of this must be supported with probative evidence – including evidence that the Beneficiary actually carried out the duties overseas.

The L-1B for Specialized Knowledge Employees

The L-1B visa classification is for international companies looking to move employees with specialized knowledge of their products or services to the United States for a temporary assignment. The L-1B classification is valid for a maximum of five years and is a dual intent visa, but unlike the L-1A there is no direct route to a green card. Spouses of L-1B visa holders are eligible to work in the U.S.

Like the L-1A, qualifying for L-1B status requires that both the beneficiary and the petitioning employer meet certain requirements. The U.S. employer must establish a qualifying relationship with a foreign entity, be it a parent, branch, subsidiary, or affiliate. Both the U.S. employer and the foreign entity must be actively engaged in business – and must remain so while the beneficiary is working in the U.S. The employment offered in the United States must be in a sufficiently specialized knowledge capacity. The Beneficiary must be able to show that they were previously employed by the foreign entity for at least one year before they can receive an L-1B visa. Also, the must show that their employment overseas was in a specialized knowledge capacity.

Although these five requirements seem straightforward, the L-1 visa is one of the most prevalent nonimmigrant petitions filed with USCIS and the data shows that one quarter of all L-1 petitions are denied; the AAO publishes about eighteen appellate cases per month to provide insight into the shortcomings in some of the filings. Although each of the five requirements make routine appearances in the appellate analyses, by far the most critically important requirements are establishing the specialized knowledge employment both in the U.S. and abroad. 

Specialized knowledge means special knowledge possessed by an individual of the petitioning organization's product, service, research, equipment, techniques, management, or other interests and its application in international markets, or an advanced level of knowledge or expertise in the organization's processes and procedures. Documenting this requires extremely detailed support letters that clearly explain the company’s business, operations, products and services, in addition to the Beneficiary’s daily duties that reflect the unique knowledge base of the work. All of this must be supported with probative evidence – including evidence that the Beneficiary actually carried out the duties overseas.

L-1A New Office Petitions

Owners, executives, and managers of companies overseas may want to explore the opportunities of opening a subsidiary, branch, or affiliate company in the United States. These individuals often start the process in B-1 status, not working but exploring potential locations, contracts, customers, and partners. If a decision is reached to start an operation in the United States, the new company can file an L-1A petition for a manager or executive to begin operations. In practice, this typically involves the foreign national changing from B-1 to L1A status to continue overseeing and developing the company.

In order to qualify, at the time of filing the company must be doing business in the U.S. for less than one year. The company must submit evidence that it has secured a physical location and its operations will support an executive or management position within one year. To establish the latter, the U.S. company must submit a thorough business plan that realistic outlines the next five years of operations and growth expectations. Operations that expect (and do) hire supporting staff have an easier time meeting this requirement.

The foreign national must otherwise meet the one-year employment requirement and the proposed U.S. employment must be managerial or executive in nature. New Office petitions are approved for one year, after which an extension must be filed for the L-1A manager or executive.

The “LZ” Blanket Petition & I-129S

For large, established multinational corporations, applying for blanket status is a way to speed up processing and reduce costs for L visas by permanently establishing the qualifying relationship element in L visa petitions. To be eligible, a company must be engaged in commercial trade or services, have a U.S. office and operations for at least one year, and have at least three other subsidiaries, branches, or affiliates. Additionally, the U.S. petitioning company must meet at least one of the following: (1) combined annual sales of at least $25 million, (2) a U.S. workforce of at least 1,000 employees, or (3) at least 10 approvals for L visa petitions in the past year.

To apply for Blanket status, the U.S. petitioner will file and I-129 with the L supplement requesting such status. The request will include evidence that the company meets each of the requirements and, if approved, the status will be valid for 3 years. If at the time of extension the U.S. company still meets all of the requirements, the approval of Blanket status will not expire.

Obtaining Blanket status does not relieve a petitioning company from establishing the remaining eligibility requirements for each of their employees – namely that they meet the one-year work requirement and their employment be in a managerial, executive, or specialized knowledge capacity. This is done on the Form I-129S at the consulate when the employee applies for the visa. Subject to the consulate’s particular requirements, the evidence supporting the I-129S should be as thorough as if it were being submitted to USCIS in a typical L petition.