Professional Documents
Culture Documents
2 "Map the Impact of Immigration Across the Nation." Map the Impact of Immigration Across the Nation.
Partnership for a New American Economy, n.d. Web. 26 Feb. 2015.
high-skilled immigration reform has strong support from both parties and in Congress. We
urge the administration to take advantage of this momentum and implement an
Entrepreneur Pathways program as quickly as possible.
Closing the Gap Between Tech and Policy
The recommendations in this brief are based on feedback we collected from members of
tech communities throughout the country. We reached out to people in a variety of ways,
including:
Table of Contents
Executive Summary
Other Considerations
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Moving Forward
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Executive Summary
The United States needs an immigration system that allows the worlds most talented
entrepreneurs to start the next generation of innovative companies here. FWD.us supports
the Entrepreneur Pathways Program, which would offer Temporary Visas or Lawful
Permanent Residency (LPR) to foreign entrepreneurs.
In order to be successful, the Entrepreneur Pathways program must establish clear
requirements, qualifications and priorities so it can determine who should qualify for legal
status. Below, we have listed some topline recommendations for these requirements.
These recommendations are the result of over 100 responses collected from the tech
community. FWD.us held roundtable and conference call discussions with immigrant tech
entrepreneurs in Silicon Valley and San Francisco, distributed an online survey, and
conducted follow-up interviews. Since the content of this brief draws upon a wide range of
perspectives, the following policy recommendations are much broader than we might
usually present.
Temporary Visa Recommendations
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living inside the country. However, young STEM graduates and entrepreneurs in
accelerator programs are often in the early stages of creating their businesses, and
may not be able to create jobs yet. We recommend that temporary visa applicants
only be held to job creation requirements once they renew their visas, and should
be required to create 2-3 jobs at the time of their renewal request.
Lawful Permanent Residency Recommendations
1. Give Priority to Entrepreneurs that Create Jobs. The Entrepreneur
Pathway program should lay out a limited time period for entrepreneurs to prove
that they have created economic opportunity for other Americans. If they are
successful, they should be strongly prioritized to qualify for lawful permanent
residency under the national interest waiver.
The following brief will detail FWD.us recommendations for evaluating each of the four
different categories of potential applicants. Afterward, we outline a way to evaluate all
applicants more generally. We will also provide feedback on the national interest waiver.
The brief will then close with recommendations for streamlining the general immigration
process.
3 Neil G. Ruiz, "The Geography of Foreign Students in U.S. Higher Education: Origins and Destinations." The
Brookings Institute, August 29, 2014.
4 Stuart Anderson, "The Importance of International Students to America." National Foundation for American
Policy, July 2013.
Rationale:
Visa Period: F-1 graduates can use their OPT period to develop an idea for a
business or product and secure preliminary funding. The 24-month period for the
Entrepreneur Pathways program will allow graduates to continue raising funds,
developing a product, and/or grow the business. By the end of the 24 months,
graduates will have had enough time to make a case for their businesses success
(job growth, increased revenue, etc.), in order to qualify for visa renewal.
Investment: Recent graduates have had less work experience and less time
to establish themselves within their local tech ecosystem. It may be more difficult
for them to attract larger investments. Their threshold is lower to adjust for this
issue.
Revenue: This is a very subjective criterion that depends upon sector. We will
legal status, is often too great. For this group in particular, the Entrepreneur Pathway
represents a crucial opportunity to become entrepreneurs and job creators.
We recommend the following criteria for evaluating foreign-born entrepreneurs currently
residing in the U.S.
Topline Threshold Recommendations:
Rationale:
Visa Period: This is a realistic period to scale a business model and/or user
base.
Investment: These applicants have had sufficient time in the U.S. to raise
funds prior to application. They are also more familiar with and presumably
experienced in the local tech ecosystem.
Revenue: This is a very subjective criterion that depends upon sector. We will
address this issue in the Other Considerations section of this brief.
Jobs Created: The creation of 2-3 jobs is a good indicator of business growth.
Foreign entrepreneurs who have been living and working the U.S. can fairly be
expected to meet this minimal requirement because of this experience.
Rationale:
Visa Period: This is a realistic period to scale a business model and/or user
base.
ENTREPRENEUR IN COMPETITIVE
ACCELERATOR PROGRAM
An accelerator is a selective program that nurtures entrepreneurial teams during their
early phases of development for a fixed period of time, usually spanning about 3-4 months.
Traditional accelerators provide a wide range of services, including: seed funding (ranging
from $25,000 - $250,000), mentorship, banking services, workspace, design consulting,
marketing/public relations support, and legal counsel.
Acceptance into a high profile accelerator represents substantial external validation. Well
known accelerators have an extremely competitive selection process akin to top tier
universities. Prestigious tech accelerators receives thousands of applications per cycle and
admit well under 5% of applicants.
We recommend that applicants accepted into an accelerator program should qualify for
the Entrepreneur Pathway program if they also meet the following criteria.
Topline Threshold Recommendations:
Rationale:
Visa Period: Many of these companies are in the early stages and are
sometimes even at the conceptual stage. Our sources indicate 24-36 months is a
period that would be realistic for entrepreneurs across high/low tech sectors.
Funding: $25-50k is the average seed funding provided by top accelerators.
Revenue: This is a very subjective criterion that depends upon sector. We will
address this issue in the Other Considerations section of this brief.
Jobs: Accelerator applicants are teams of founders at the early stages of
building their startups. It makes more sense to evaluate their job creation as criteria
for renewal rather than as an initial qualification. A reasonable threshold at the time
of renewal is 2-3 jobs created. This can be a determinant of success, and whether
the applicant should qualify for a visa renewal.
Other Considerations
While collecting feedback from members of the tech community, we noticed a number of
nuances that the administration should take into account while developing the
Entrepreneur Pathway program.
technology. During a secondary input process, we will want to work very closely with
established venture capital firms to determine appropriate sector-specific
thresholds. These firms keep detailed portfolios of the revenue trends for
companies they invest in, which span across different sectors.
Outliers: Success in the startup world does not necessarily require an
advanced degree. We encountered many people without traditional educational
backgrounds who do not qualify for H-1B status or typical work authorization, yet
still have the skills and aspiration to found startups. External validators that
showcase these individuals exceptional ability may include: written
recommendations from a prominent mentor/investor and awards from high-level
hackathons/coding competitions.
Ownership Level of Company: An additional criterion could be a minimum
ownership stake in a company (in % shares). A conservative threshold would be
around 10%, but could go as low as 2%.
code-based web application might not reach a high investment threshold right away,
though it could generate substantial revenue within a few months. In contrast, a business
developing a biomedical device may acquire high initial investment, but due to extensive
FDA approval processes, might not be able to generate revenue for a few years. Although
neither startup meets all criteria, they are both validated by either U.S. investors or U.S.
customers.
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Increase Transparency
friendly. According to one of our respondents: The flow-charts and FAQ sheets on
the USCIS websites all assume a high-level of understanding on the part of clients.
As an immigration attorney, sometimes even I am unable to rely on the information
intended to be helpful to clients. People can make huge mistakes quite easily just by
attempting to follow instructions available to the public.
USCIS should explain why an application was rejected (incomplete forms,
visas caps, etc.).
Improve the Technology
submit visa applications, scans of required documents, and track each stage of their
application. As one respondent explained: Each step of the application process
should be much more transparent. The current black box is very frustrating. There
are already companies working on these improvements that could be valuable
partners to the administration.
While an application is being processed, applicants should be able to track
their application through each stage of the process online.
Moving Forward
In our work on immigration reform, we have encountered many talented entrepreneurs
and recent graduates with no clear pathway to start and grow their businesses in the
United States. For every aspiring entrepreneur we turn away, we lose out on innovative
ideas, contributions to our local economies, and American jobs. FWD.us supports the
administrations efforts to enhance immigration options for innovators and job creators.
This brief has provided insight into the realities faced by entrepreneurs trying to build
successful businesses. We hope this insight will help White House policy makers craft
realistic eligibility criteria for the program, and generate new ideas for streamlining the
immigration process. FWD.us is committed to ensuring the Entrepreneur Pathways is a
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success. We are launching a campaign that will 1) educate the public about the need for
this program, 2) drive participation in the public comment process and 3) generate support
from the public and policymakers.
As an organization whose mission is to nurture the growing intersection between tech and
politics, we will continue to connect members of the tech community to the administration.
Part of our next steps will be to ask our supporters to sign onto this brief in support of the
recommendations. FWD.us is proud to ensure that the community has a voice in shaping
this important program.
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