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LEDUC COUNTY · A common brand does not establish the same relationship for every category

Distinguish a franchise network from a qualifying corporate group

USAvisa field guide · 2 minute readReviewed 7 September 2026

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THE SHORT ANSWER

A hypothetical Leduc County applicant may have experience with a franchise brand abroad and an opportunity with another operator in the United States. Review who owns and employs through each organization before describing the move as an intercompany transfer.

01

Check the L-1 relationship rather than the logo

L-1 requires qualifying parent, subsidiary, affiliate or branch organizations, continuing business and the required foreign employment. Separate franchise operators do not automatically have that relationship simply because they use the same brand or training materials. If a qualifying relationship exists, the U.S. role still needs the relevant managerial, executive or specialized-knowledge showing. Establish one continuous full-time qualifying year abroad within the relevant preceding three years; ordinary foreign work can be managerial, executive or specialized knowledge, while the U.S. duties must fit the requested L classification.

02

Check an actual E-2 employee proposal separately

An E-2 employee case requires a qualifying treaty employer, the relevant same-nationality relationship and the applicable executive, supervisory or essential-skill conditions. Experience with the brand can be relevant without establishing those conditions by itself. Do not treat the absence of an L-1 relationship as automatic E-2 eligibility. For an investor, development and direction can be shown by at least 50% ownership or genuine operational control through a managerial position or other corporate device.

03

Distinguish buying from being hired

If the applicant intends to invest, assess treaty nationality and enterprise ownership, lawful substantial capital committed at risk, development and direction and a real nonmarginal business. E-2 has no universal investment minimum and requires intent to depart when status ends. A franchise training fee is not automatically a qualifying investment in the business that will employ the applicant. The nonmarginality test concerns capacity beyond a minimal living for the investor and family or a significant economic contribution. Projected capacity should generally be realized within five years of beginning normal business activity.

04

Keep the factual employer description consistent

Identify the actual foreign employer, proposed U.S. employer, ownership and duties. Do not describe independent companies as affiliates merely to fit a preferred category. The next step should address the genuine arrangement, including unresolved evidence, without inventing a corporate connection.

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