Introduction The Panelists Susan J. Cohen (SJC): Mintz Levin Niko Bonatsos (NB): General Catalyst Jeff Clavier (JC): Uncork Capital Sascha Eder (SE): NewtonX Jeff Farrah (JF): National Venture Capital Association What impact does (a) the lack of sufficient H-1B visas and (b) the “control” requirement have on America's start-ups and early stage companies? SJC: NB: JC: SE: www.itif.org JF: In light of the foreign ownership and foreign investment requirement of the E-2 visa, is this a useful visa for America's start-ups and early-stage companies? What risks does the foreign ownership requirement and automatic loss of the visa status upon dilution of ownership pose to U.S. venture capital firms and other U.S. investors? SJC: NB: JC: SE:

1. The ownership rule of 50% is often feasible for a startup with no funding but as soon as the company needs funding it becomes extremely difficult to maintain this percentage.
2. Furthermore, most successful startups have two-three co-founders, which means that the person requiring the E2 Visa needs more than 50% ownership which often does not work in light of the co-founders. The E2 visa makes it very unattractive for investors to invest who pick from thousands of startups, as it creates many constraints and challenges.
3. The fact that the E2 becomes void once U.S. investment in the business reaches 50% means that it doesn't provide a path to a green card or any other alternative means that the entrepreneur has to keep working on a long-term solution.
4. The initial capital requirements are also difficult to obtain. Often at least $100,000 if not more must have been invested irreversibly and it would often be counterproductive for entrepreneurs to invest this kind of capital in the very beginning when the startup is supposed to be very lean and might not even require such an investment yet.

JF: How would the IEP Program benefit U.S. start-up companies and the U.S. investment community? SJC: NB: JC: SE: JF: What is your reaction to the proposed rescission of the IEP program, despite the overwhelming support for the program by the public? SJC: NB: JC: https://tcrn.ch/2LfbtYn See https://twitter.com/jeff/status/1002591918826631168/photo/1 SE: JF: June 28 How has the start-up and investment community benefited from the 12-month and additional 24-month OPT extension? How would the elimination of the STEP OPT Extension impact start-ups and early stage companies? SJC: NB: JC: SE: What changes to the F-1 student visa post-graduation work authorization rules would benefit the U.S. venture and investment community? Do you agree that only STEM fields should benefit from an additional 24-months of OPT authorization? For example, a typical MBA degree is not considered a STEM degree. SJC: JC: SE: e.g. Nicholas Gaffney Marketing the Law Firm [email protected]