E2, renewals, the economy and exchange rates.

[dip your toe]

Playing the Devils Advocate a bit here and I don’t have any statistics or links to any source to back myself up. So here goes…………..

During the UK boom years of soaring house prices and the $2.00 to the pound exchange rate, UK citizens, in larger numbers than ever before, were able to raise far greater dollar capital than in previous years. This I surmise led to a surge in E2 applications during this ‘boom’ time. Hence the longer waiting time for an Embassy appointment and/or decision.

I suspect, that many of these applicants with there new found wealth, put living the American dream at the top of their priorities rather than finding the right business in the right location. This led to many poor business decisions and the subsequent trials and tribulations of making a business profitable enough to meet the criteria of E2 renewal.

Looking at it from the Embassy point of view, here we have an office that is inundated with new applications, the wealth is there to qualify, the business plan, like most business plans, is full of positives, the business being purchased looks fine on paper ( they don’t have to do due diligence ). An E2 is granted.

Two years later, time for renewal. The embassy is backlogged with renewals, many of which, due to poor business decisions at the outset, simply fail abysmally to meet the criteria required. Due to the amount of new applications and renewals the embassy can reject at will, after all there are more and more new applications coming through the door every day.

Fast forward to present day. UK house prices falling dramatically and the market stagnant. The exchange rate down to $1.40: 1. Far fewer people able to raise enough capital to go the E2 route.

Back at the Embassy things have gone very quiet, waiting times for appointments and decisions have shrunk. The recession is hurting the US economy. Fewer Brits, with less money, are knocking at the door.

Is this the right time to go for renewal?

What is the definition of marginality?

Has the definition of marginality changed due to the economy?

IMHO the pendulum has swung in our favour. Whether it has swung far enough for your personal circumstances only you can decide.

[JulieC]

As stated on another thread, yes they do seem to be taking marginality up to a point but only up to a point. No employees and no or little in earnings and supporting businesses and family living expenses from savings or the earnings of EAD spouses and they cannot really let you through noi matter what. Friends of friends were just denied extension in Texas with that sort of scenario. Horribly there are a lot of people in that position, I personally know of three lots.

[InnVic]

its a great theory - but still too much of a risk to be stuck in the UK if you get denied.

[byjove]

wwwwwwwwaaaaaaaaaaaayyyyyyyyyyyyy too risky for us atm

[chris]

For those who got the VC'VA's to do not only the application, but the business plan as well for the Embassy and after approval and arriving in the US never really got under the skin of their business, yes I think they would be foolish to try for renewal.
On the other hand if you know your business, know how the business fits in with the greater US economy and can speak intelligently and convincingly that you know what you are talking about, then IMHO you may be able to swing it.
Presenting a set of figures prepared by their CPA is something any fool can do. Understanding those figures in the context of your business's future and what you have to do to secure its future is what sets folks apart.

[jim]

For those who got the VC'VA's to do not only the application, but the business plan as well for the Embassy and after approval and arriving in the US never really got under the skin of their business, yes I think they would be foolish to try for renewal.
On the other hand if you know your business, know how the business fits in with the greater US economy and can speak intelligently and convincingly that you know what you are talking about, then IMHO you may be able to swing it.
Presenting a set of figures prepared by their CPA is something any fool can do. Understanding those figures in the context of your business's future and what you have to do to secure its future is what sets folks apart.

How will this swing?
Bought my business 26th July 2004 Port Charlotte Florida. 13th August 2004 huricane Charlie distroyed Port Charlotte. Had my business 3 weeks. Wife and kids still in England. Lost my accounts, lost 90% of my equipment. Hadn't been here long enough to get insurred, didn't even have SSN. Guy who was to train me lost his house, his duaghter lost her house. So no training. first tax return 2004 93k loss. The seller took 15 years to get the business were it was. I have had 5 years. Business cost us 200k. Am I confident of renewing in November this year? NO! We are probably half the business I bought. And to cap it all the economy is crap! Hence my questions about extending I-94's.
Business is stable, employing people.
Growth? yes from nothing. Its been tough and I have been dreading November 2009.....

[britcan]

What kind of business are you in if you don't mind me asking?

[kirtida8]

Jim, I totally understand where you are coming from and know that your question about extending your I-94 was valid. It is difficult for others to understand how difficult that decision is until they are faced with it - it is not just a matter of putting of the inevitable or taking the easy way out by extending your status. I will have to live the guilt of not being able to go home for the funerals of both my sister and my dad as a result of my own extension in 2007.

[jim]

What kind of business are you in if you don't mind me asking?
Landscape Maintenance.

The little money we did have left we bought equipment with to help with the huricane clear up. So 2005 didn't look that bad. But once the dust settled we needed regular accounts so 06 and 07 where tough years. Toughest thing has been trying to get the business while working in the business. Massive learning curve.

[jim]

Jim, I totally understand where you are coming from and know that your question about extending your I-94 was valid. It is difficult for others to understand how difficult that decision is until they are faced with it - it is not just a matter of putting of the inevitable or taking the easy way out by extending your status. I will have to live the guilt of not being able to go home for the funerals of both my sister and my dad as a result of my own extension in 2007.

Yes, Man that must have been tough. We both parents that are still a live. My mother is quite ill and in her 70's. So yes it is not an easy decision but it just part of this whole bad experience.

[britcan]

Landscape Maintenance.

The little money we did have left we bought equipment with to help with the huricane clear up. So 2005 didn't look that bad. But once the dust settled we needed regular accounts so 06 and 07 where tough years. Toughest thing has been trying to get the business while working in the business. Massive learning curve.

Well I wish you the best of luck going forward- these times are really tough for sure- we had to come back to Canada (originally from UK moved to Canada in 2002) in 2008 after just 1 year...we too are keeping our fingers crossed that things pick up.We still have USA business running with help from friends.

[dip your toe]

How will this swing?
Bought my business 26th July 2004 Port Charlotte Florida. 13th August 2004 huricane Charlie distroyed Port Charlotte. Had my business 3 weeks. Wife and kids still in England. Lost my accounts, lost 90% of my equipment. Hadn't been here long enough to get insurred, didn't even have SSN. Guy who was to train me lost his house, his duaghter lost her house. So no training. first tax return 2004 93k loss. The seller took 15 years to get the business were it was. I have had 5 years. Business cost us 200k. Am I confident of renewing in November this year? NO! We are probably half the business I bought. And to cap it all the economy is crap! Hence my questions about extending I-94's.
Business is stable, employing people.
Growth? yes from nothing. Its been tough and I have been dreading November 2009.....

It's probably an understatement to say that was a tough start, I sincerely hope you can recover from it.

I'm a bit confused ( easily done ), about the dates. Have you not been for a renewal since 2004? Is this your first renewal?

[jim]

It's probably an understatement to say that was a tough start, I sincerely hope you can recover from it.

I'm a bit confused ( easily done ), about the dates. Have you not been for a renewal since 2004? Is this your first renewal?

Hmmm....first renewal. we got a 5 year visa. bought the business before the visa started in November 2004. Thank God it was a 5 year visa.

[Ed Tha Brit]

Hmmm....first renewal. we got a 5 year visa. bought the business before the visa started in November 2004. Thank God it was a 5 year visa.

Hello Jim,

My advice is to see your Immigration Attorney, it will be money well spent and the advice they give will put you and your family in the right frame of mind to make the right decision.:confused:

Have a nice Day
Ed Tha Brit

[jim]

Hello Jim,

My advice is to see your Immigration Attorney, it will be money well spent and the advice they give will put you and your family in the right frame of mind to make the right decision.:confused:

Have a nice Day
Ed Tha Brit

Thanks Ed,
Part of me thinks yes go for the renewal, Americans love this gunhoe spirit.
We are still in there fighting. But then I think what a gamble. Don't think we take anymore disapointment to be honest.

[InnVic]

On the other hand if you know your business, know how the business fits in with the greater US economy and can speak intelligently and convincingly that you know what you are talking about, then IMHO you may be able to swing it.
.

Chris you know I normally agree with everything you say and have total respect for your opinion but on this occassion I have to disagree. As someone who actually has attempted the cruel and unusual treatment the passes as a visa renewal experience, I think conviction, growth and knowledge of your business and its place in the market means diddly squat. If you do not conform to their "cookie cutter" definition of a qualifying business then do not expect ANY common sense to prevail. I'm not saying your all doomed to failure but I'm just saying I wouldn't RELY upon any discretion being applied - if in doubt, do nowt!

[chris]

InnVic,
I didn't 'would' swing it, I said 'may swing it'. Big difference. I think we all know that the embassy is like a gambling casino anyway. Just approach it as a professional gambler not as a regular joe punter.
In answer to Jim. You have my sympathies mate. We were here in 2006 for the same 3 hurricanes. We were just starting to see some light at the end of the tunnel after 911, the fall off in money in Florida as a result of that, then then Bush invasion into Iraq which then turned the US economy down again. The 3 hurricanes were the icing on top of all that. I don't care how dumb or uncaring an embassy joe is, they cannot ignore the stark realities of what you had to go through. I think we often forget that we are not superhuman and our businesses are subject to the same economic ills as any other business.
One thing to remember for the future...Small Business Administration. They give loans out to small businesses (does not matter if you are a UK or an US). We got one post 2004 based on 'economic injury' It was a godsend. It's probably too late for you now Jiim, but check them out, see if they can help you right now or if not now, bear it in mind next hurricane season.

[peter gold]

I have thought about this all day today. On balance I think come the time for renewal you will get a two year one. That said I feel an appointment with your attorney would be money well spent.
Very hard to advise when we do not have all the facts.
Whatever you decide good luck