Entrepreneurial Activities and Immigration Status

With the exception of Post-Completion Optional Practical Training, self-employment is not permitted for international students. An employer-employee relationship is defined differently in many states, but generally Federal immigration authorities  look at the employer’s ability to hire, pay, fire, supervise, or otherwise control the work of the employee when defining an employer-employee relationship.

International students may be interested in starting a business while they are pursuing their degree. However, CISS cautions students to investigate each opportunity carefully as many of the activities involved in starting a business may be considered employment and would require employment authorization.  Some business planning activities that are generally not considered employment include: conducting market research; scoping out and even purchasing physical space for a potential  business; registering a business under your name; securing a  business license; preliminary meetings with potential clients/customers and/or employees/contractors. Other activities such as performing services, selling products, signing sales contracts, and hiring employees could be considered employment. Please note that this is not an exhaustive list. 

International students must not be actively involved employment in any way in the United States without prior authorization through Optional Practical Training (OPT), Curricular Practical Training (CPT), Academic Training (AT) or on-campus student employment authorized by the ISSO. Income derived through “day-trading” activities and the like, can be considered employment, which must be pre-authorized. However, certain passive income generating activities such as interest from a certificate of deposit may be permissible as long as no employment is taking place. Consult a licensed immigration attorney for more information.