So far in this book you have looked at ways of finding an employer in the United States. This chapter looks at another option worth consideration: working for yourself. Self-employment is admittedly not an easy option, but for anyone who has experience of running his own business, setting up in the United States will not be so very different.
Immigrants from all over the world have done this and the many ethnic shops, restaurants and factories you find in the country prove that success often favours the bold. If you plan to invest $1 million ($500,000 in certain designated areas) in the creation of a new business, the purchase of an existing business or the infusion of capital into an existing business, you will probably qualify for full immigrant status.
Investors with lesser amounts of capital will have to settle for a non-immigrant visa (see Chapter 2).
What’s My First Step?
How does one set up on one’s own account in the United States? There are basically four approaches you could consider:
- open a branch of your UK business in the United States
- set up a joint venture with an American company
- set up your own business from scratch.
Before you take the plunge it is vital to do some market research. To do this properly will involve one or more visits to the United States to find out the lie of the land.
If you are thinking of acquiring a business you need to ask around to see if the asking price is reasonable and the
business has a bright future. This is not a time for throwing caution to the wind, and you should bear in mind that even some leading companies based in the UK have made disastrous acquisitions in America over the past decade.
A branch office is an excellent plan for anyone seeking to distribute or service his company’s products in the United States. However, there is plenty of scope for the small businessman outside manufacturing; for example, as an international recruitment consultant, estate agent, relocation expert or business consultant servicing clients on both sides of the Atlantic.
A joint venture is also worth considering, not least because of the benefit in terms of market experience and local know-how an American partner can offer. However, you will need to proceed with caution and consider a number of possible partners before coming to any decision.
Starting from scratch is a risky activity, and you need to be confident of the viability of your project before embarking on it. New businesses wherever they are started tend to have a high casualty rate, with only a small proportion surviving until their fifth birthday.
Uk Sources Of Advice And Assistance
Anyone planning to start a business in their own country requires advice and assistance. If you are planning to start a business - however large or small - in a foreign country your need is even greater.
If you are a UK citizen there are a number of British organisations you can call on:
- Department of Trade and Industry, British Overseas Trade Board, Exports to North America Branch, which publishes the UK Businessman’s Guide to American Law, Business Practices and Taxation.
- British Trade and Investment Office, British Consulate General, New York, which publishes a booklet entitled Setting Up Your Own Business in the USA and can provide a list of recommended lawyers.
- Other British missions in the United States - the Commercial Office of the Embassy in Washington and the various Consulates-General.
- The British-American Chamber of Commerce, in London, New York and California, and the British-Florida Chamber of Commerce.