Is it possible for an H1B petition to be filed by a company that is partially owned by the prospective H1B worker?

Answer

It is possible, but this can raise issues. The ownership interest must be disclosed on the I-129. Further, as with all H1B petitions, one must be able to demonstrate a valid employer-employee relationship.

In general, when the H1B worker is a minority shareholder, demonstrating a valid employer-employee relationship tends to be straightforward (i.e., the majority shareholder/s have the right to supervise, or even fire the H1B worker). But this becomes much more challenging if the H1B worker holds a controlling interest in the business. It still may be possible to file such a case – including in situations where the H1B worker owns 100 percent of the business, but these cases tend to be very challenging. You can read guidance on this in the MurthyDotCom NewsBrief, “Entrepreneur” H1B Petitions: A New Option for Start-Up Companies? (17.Dec.2012). If you interested in pursuing this option, you are welcome to schedule a consultation with a Murthy Law Firm attorney. (10.Mar.2022)

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