Distinguish money available from money actually committed under the expansion arrangements. Explain ownership, lawful source and the terms of the payments rather than relying on a retained-profit figure alone.
Connect the expansion budget with actual transactions
Show contributions, purchases, deposits and obligations separately, including any conditions on return. Review the investment treatment of the actual structure. Keep government and professional charges distinct and verify current fees. There is no universal second-location price that automatically satisfies E-2 substantiality or cures an operating or nationality problem.
In practice, a business costing a modest amount needs to be almost entirely funded by the investor's own committed capital, while a much larger enterprise can be acquired with a smaller proportion because the absolute commitment is already large. The investment must be substantial relative to what establishing this enterprise costs, which in a franchise usually means committing essentially the whole of the fee, build-out, equipment and working capital rather than a portion of it. Beyond closing, the business needs enough working capital to trade through a first season, and an investment that consumes every available dollar leaves nothing to answer the question of whether the enterprise can operate as more than a marginal one.