In January 2025, USCIS introduced a groundbreaking reform for H-1B visas, making it easier for entrepreneurs to self-sponsor. For years, foreign founders faced challenges proving a legitimate employer-employee relationship while owning a significant share of their company. The new policy finally addresses this, allowing startup founders to apply for H-1B—even if they hold more than 50% ownership.
This shift is a major win for international entrepreneurs who have long struggled with visa limitations. Under the new rules, self-sponsored H-1Bs come with some restrictions: the initial approval and first extension are capped at 18 months each, unlike the usual three-year period. However, it provides a much-needed pathway for startup founders to legally work and scale their businesses in the U.S. The reform also extends the Cap-Gap policy, allowing F-1 students to maintain their status and work authorization while their cases are under review.
Of course, setting up a company that qualifies for H-1B sponsorship still requires careful planning. The business must be a legally registered entity, offer a specialty occupation role with a salary that meets Department of Labor standards, and have a physical office and operational history. Financial sustainability is also key—the company must demonstrate it has enough resources to pay the founder’s salary. While this policy opens doors, compliance and strong documentation remain crucial.
For those currently on OPT, this policy creates a smoother transition. Entrepreneurs can now work at their own startups during OPT, apply for H-1B in a timely manner, and leverage the Cap-Gap extension to maintain work authorization while waiting for their petition results. Given the changes in the 2025 H-1B lottery system, where each beneficiary gets an equal chance regardless of multiple applications, startups will need a well-prepared strategy to secure a spot.
Basic Timeline for H-1B Self-Sponsorship
- Summer – Fall 2024: Set up your startup (register the company, establish operations, secure funding).
- December 2024 – January 2025: Gather necessary documents for H-1B registration.
- March 2025: Complete H-1B electronic registration during the USCIS lottery window.
- Early April 2025: Check lottery results to see if selected.
- April – June 2025: Prepare and file the full H-1B petition with USCIS.
- May – August 2025: Wait for approval; respond to any Requests for Evidence (RFE) if needed.
- September 2025: Confirm H-1B approval and prepare for employment.
- October 1, 2025: H-1B status becomes active—officially start working under your startup’s sponsorship.
Hope it help!!!