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I'm on F-1 visa. Somebody told me I can start a business but only as a passive investor. How do you start a business as a pas..?

Milwaukee, WI |

I'm on F-1 visa. Somebody told me I can start a business but only as a passive investor. How do you start a business as a passive investor? I need some advise on starting my own business as a passive investor. How do you do it?

Attorney Answers 4


  1. It is risky. You can lose your capital! Unless you are the son of an Arab oil magnate or of a Russian minigarch you should be careful,before entrusting your money to somebody else and have him run (of even own a great part of the business the "active" partner will own and operate on his own, without you,'the "passive" investor having much say so on the expenditure of your money or the running of the business.

    Talk to business / transactional lawyer before embarking on such an adventure!

    Behar Intl. Counsel 619.234.5962 Kindly be advised that the answer above is only general in nature cannot be construed as legal advice, given that not enough facts are known. It is your responsibility to retain a lawyer to analyze the facts specific to your particular situation in order to give you specific advice. Specific answers will require cognizance of all pertinent facts about your case. Any answers offered on Avvo are of a general nature only, and are not meant to create an attorney-client relationship.


  2. I agree with my colleague. You can start your own company, but It is not recommended. A passive investor is one who does not participate in the day-to-day decisions of running a company. You need to hire someone to run your company.

    This answer is of a general nature and should not be relied upon as final, nor is it intended as legal advice. Consult with a qualified attorney before making any legal decisions. Gen Kimura, (832) 247-6932.


  3. I, too, agree.

    J Charles Ferrari Eng & Nishimura 213.622.2255 The statement above is general in nature and does not constitute legal advice, as not all the facts are known. You should retain an attorney to review all the facts specific to your case in order to receive advise specific to your case. The statement above does not create an attorney/client relationship. Answers on Avvo can only be general ones, as specific answers would require knowledge of all the facts. As such, they may or may not apply to the question.


  4. Another question is why you would want to do that, when you can passively invest in existing businesses.

    The above is intended only as general information, and does not constitute legal advice. You must speak with an attorney to discuss your individual case.

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