CONTENTS
- 1. The Client Who Needed an Intracompany Transferee Visa
- - The Client Who Sought an Immigration Attorney
- 2. Information on Intracompany Transferee Visas and Establishment of a U.S. Corporation
- - Key Requirements for Issuance of an Intracompany Transferee Visa
- - Procedure for Establishing a U.S. Corporation
- 3. Legal Advisory for an Intracompany Transferee Visa and Corporation Formation
- - Review of L-1A Visa Eligibility and Assessment of Requirements
- - Establishing a Practical Strategy for Forming a U.S. Corporation
- - Practical Advisory on B1 Visas for Short-Term Business Travelers
- - Provision of a Full Schedule and a Risk Response Strategy
- 4. Successful Advisory on Intracompany Transferee Visas and Establishment of a U.S. Corporation
- - If You Need Assistance With Visas and Corporation Formation?
1. The Client Who Needed an Intracompany Transferee Visa
This is a case in which a client who needed advisory on the issuance of an expatriate visa and the establishment of a U.S. corporation was able to obtain the visa without difficulty thanks to the assistance of an immigration specialist attorney.
The Client Who Sought an Immigration Attorney
The client who requested a consultation from an immigration attorney is an executive at a domestic mid-sized bio-health company who was preparing to establish a local entity and dispatch key personnel to enter the North American market.
In this process, the client needed to systematically review complex procedures such as the requirements for establishing a U.S. entity and the expatriate dispatch visa (L-1).
Accordingly, the client requested comprehensive advisory services aimed at establishing a local U.S. entity together with the issuance of an expatriate (L-1) visa.
2. Information on Intracompany Transferee Visas and Establishment of a U.S. Corporation
The expatriate visa (L-1) is a visa that presupposes a parent-subsidiary or affiliated-company relationship between Korea and the United States.
In other words, as with the client's company, in order to dispatch personnel to the United States, one must apply for an expatriate visa after going through the approval of the United States Citizenship and Immigration Services (USCIS).
Unlike a simple employment visa, the L-1 visa is a visa that must simultaneously satisfy the structural requirements between the companies and the career and job requirements of the person being dispatched.
Key Requirements for Issuance of an Intracompany Transferee Visa
Requirement | Details |
Relationship between the entities | The Korean headquarters and the U.S. entity must be in a parent-subsidiary, affiliate, or branch relationship |
A substantial ownership or control relationship must be established | |
Business activities of both entities | Not only the U.S. entity but also the Korean headquarters must be engaged in substantial business activities |
A physical and financial basis, such as office space, employees, and assets, is required | |
Career requirement for the transferee | The transferee must have worked full-time and continuously at the Korean entity for at least 1 year within the most recent 3 years before the transfer to the United States |
Operational capacity requirement in the United States | The U.S. entity must have a sufficient organizational structure and resources to enable the transferee to perform the assigned duties |
Visa type eligibility requirement | Divided into L-1A (executive/manager) or L-1B (specialized knowledge holder) |
The applicable eligibility requirements must be met |
Procedure for Establishing a U.S. Corporation
Because the client had to concurrently establish a local corporation, an indispensable requirement for dispatching expatriate staff within the United States, the client requested comprehensive advice from an immigration attorney covering the entire procedure for establishing a U.S. corporation.
In general, the detailed requirements for establishing a corporation in the United States vary by state, but the process broadly follows the steps below.
Procedural Item | Main Content |
① Registration of Incorporation | File the Articles of Incorporation with the relevant state government |
• Items included: incorporator, registered agent, number of shares issued, board of directors, and the like | |
• A foreign national may serve as the incorporator | |
② Preparation of Bylaws or Operating Agreement | Specify the organizational operation and decision-making structure (board of directors, shareholders' meeting, accounting, and the like) |
• For an LLC, prepare an Operating Agreement that includes the members' equity interests and method of operation | |
③ Registration of Directors and Officers | Register the list of principal officers, such as the chief executive officer and the chief financial officer, with the state government |
• Generally requires annual renewal (a required document when opening a bank account) | |
④ Obtaining a Federal Tax Identification Number (EIN) | Apply for a unique taxpayer identification number from the IRS (the tax authority) |
• A foreign representative without an SSN may also apply | |
⑤ Obtaining a Business/Sales Permit | Apply for a permit from the city or state government depending on the region and type of business |
• A Seller’s Permit is required when selling goods | |
⑥ Opening a Bank Account | Open a bank account in the United States after incorporation |
• Submission of the EIN, Articles of Incorporation, list of officers, Operating Agreement, and the like is required | |
⑦ Issuance of Shares or Membership Certificates | • Stock corporation: issue shares in accordance with the Articles of Incorporation • LLC: issue membership certificates in accordance with the Operating Agreement |
3. Legal Advisory for an Intracompany Transferee Visa and Corporation Formation
The immigration attorney, who carefully analyzed the situation of the client requesting an expatriate visa and the establishment of an overseas corporation as well as the purpose of the U.S. entry, conducted comprehensive advisory work on the requirements for the L-1 expatriate visa and the practical feasibility of establishing a U.S. corporation.
The advisory work centered on the following key items.
Review of L-1A Visa Eligibility and Assessment of Requirements
In accordance with the client company's plan to expand into the United States, intensive advice was provided on whether the executive scheduled to be dispatched met the requirements for an L-1A intracompany transferee visa.
• Confirming a record of at least one year of work at the head office within the most recent three years and analyzing its consistency with the immigration requirements
• Advising on points to note for visa screening when establishing the organizational chart and division of duties of the U.S. corporation
Establishing a Practical Strategy for Forming a U.S. Corporation
The client wished to establish a local corporation within the United States and, through it, dispatch personnel in a stable manner, and needed specific guidance on the substantive legal differences depending on the region of establishment.
At the client’s request, the firm provided professional advice on the following matters.
• Guidance on registration requirements, tax matters, and preparations for opening an account depending on the state of establishment
• Presenting a roadmap of the timing of establishment and the order of priority procedures linked to the visa application
Practical Advisory on B1 Visas for Short-Term Business Travelers
In the case of the short-term business travel personnel to be dispatched together, the requirements for a B1 visa application appropriate to the business purpose had to be met, and practical advice was provided on this.
• Provision of an interview preparation strategy and a guide for drafting a statement of purpose of stay
• Guidance on responding to immigration screening to note for short-term business visits and on the limitation of the period of stay
Provision of a Full Schedule and a Risk Response Strategy
The procedures extending from the establishment of an overseas corporation to the visa application and on-the-ground operations in the United States carry legal risks at each stage.
Accordingly, at the client’s request, a comprehensive schedule was provided, together with responses to the anticipated risks.
• Identifying in advance the legal risks that may arise at each procedure and providing guidance on prevention strategies
4. Successful Advisory on Intracompany Transferee Visas and Establishment of a U.S. Corporation
There had been concerns such as failure to obtain the expatriate visa or delays in local operations, but through this advisory the client was able to secure a consistent strategy and execution plan from the establishment of the U.S. corporation to the dispatch of the expatriate.
In addition, the client was able to receive practical help in establishing an execution plan linked to the company’s internal schedule.
If You Need Assistance With Visas and Corporation Formation?
Where the establishment of a U.S. corporation and the issuance of a visa are intertwined, substantive logical structuring of the corporate structure, job design, and response to screening, as well as document preparation, is critical.
Moreover, even for a short-term business trip, systematic preparation is needed in order to respond to unexpected variables during visa screening and the entry process.
Daeryun LLC has numerous immigration attorneys who hold foreign attorney (U.S.) qualifications and possess specialized knowledge related to immigration law.
If you need assistance related to the establishment of an overseas corporation and the issuance of a visa, please request advisory at any time.
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