You are sponsoring a relative for a green card. You completed your Form I-864, but then you came across a problem. The income from your house isn’t enough to qualify according to the 125% poverty level test.
However, you have started your own business that has an equity of $2 million. Why would the USCIS treat you like this?
Here’s the reality: USCIS does accept business equity to meet I-864 requirements, but most people submit it incorrectly and get rejected.
It’s not about your business’s value, but proving it in a way USCIS will accept.
Understanding the I-864 Income Requirement
Form I-864 stipulates that sponsors have to meet household income requirements of 125 percent of the federal poverty guidelines. For 2026,
- Household of 2: $27,050/year
- Household of 3: $34,150/year
- Household of 4: $41,250/year
- Household of 5: $48,340/year
If your W-2 or 1099 income falls short, you have two options: find a joint sponsor or use assets (including business equity) to fill the gap.
Most people don’t realize the second option exists. USCIS allows assets, but the documentation requirements are strict.
Who needs to file the I-864?
Form I-864 is required in specific immigration situations:
- U.S. citizens sponsoring immediate relatives – Spouses, parents, or unmarried children under 21 applying for family-based green cards
- Lawful permanent residents (green card holders) sponsoring family members – Spouses and unmarried children of any age
- Anyone petitioning for family preference immigrants – Includes adult children, married children, and siblings
- Employment-based immigrants whose petitioner is a relative or owns 5%+ of the sponsoring company – Ensures no public charge risk when family or ownership ties exist
- Joint sponsors providing additional financial support – When the primary petitioner’s income or assets don’t meet the threshold alone
Can You Use Business Equity for I-864?
Yes, but only if you meet these three requirements:
- Independent valuation – You require a third-party evaluation or appraisal (and not just an estimation from yourself).
- Proof of liquidity – You need proof that you can liquidate your shares within 12 months.
- Asset multiplier rule – Your shares should equal 3 times (for U.S. citizens) or 5 times (for permanent residents) the income difference.
Don’t have a formal valuation yet? That’s the biggest reason I-864 applications get rejected. Get a USCIS-compliant 409A valuation from Eqvista in 5-7 business days.
How USCIS Classifies Business Equity
USCIS classifies business equity as an asset, not income. Assets can be used to cover the shortfall between your actual income and the required threshold.
But there’s a multiplier:
- U.S. citizens sponsoring spouses/children: Assets must equal 3x the income gap
- Permanent residents or other sponsors: Assets must equal 5x the income gap
Example:
- Required income: $41,250
- Your actual income: $30,000
- Income gap: $11,250
- Asset requirement (U.S. citizen): $33,750
- Asset requirement (permanent resident): $56,250
Your equity has to cover that gap. But USCIS won’t just take your word for it.
Income Shortfall and Asset Requirements
| Household Size | Required Income (125% FPL) | Your Income (Example) | Income Gap | Asset Needed (U.S. Citizen, 3x) | Asset Needed (Permanent Resident, 5x) |
|---|---|---|---|---|---|
| 2 | $27,050 | $27,050 | $0 | $0 | $0 |
| 3 | $34,150 | $28,000 | $6,150 | $18,450 | $30,750 |
| 4 | $41,250 | $30,000 | $11,250 | $33,750 | $56,250 |
| 5 | $48,340 | $35,000 | $13,340 | $40,020 | $66,700 |
| 6 | $55,430 | $40,000 | $15,430 | $46,290 | $77,150 |
What Valuation Documentation Does USCIS Accept?
USCIS will not accept your estimate of what your business is worth. They need independent, third-party validation.
Here’s what works:
- 409A Valuation (Best for Startups) A 409A is an IRS-compliant, independent appraisal of your company’s fair market value. It’s the gold standard for equity compensation and exactly what USCIS expects from startup founders.
- Recent Investment: In case you have received funds through an investment in the past year, the valuation obtained in that round can be used to calculate the worth of your stock. This will require the term sheet along with the cap sheet detailing your shareholding.
- Business Appraisal Certificate: For limited liability companies, partnerships, and professional organizations, a business appraisal certificate from a certified business appraiser is sufficient.
- Sale Record: In case the shares of your organization have been recently sold, then the sale record will be a valuable indicator of the worth of your stock.
Which Valuation Method Do You Need?
| Your Business Type | Recommended Method | Documentation You'll Need | Turnaround Time | Typical Cost |
|---|---|---|---|---|
| Venture-backed startup | 409A Valuation | Cap table, financial statements | 5-10 days | $2,000-$5,000 |
| Bootstrapped SaaS/tech company | 409A Valuation | Cap table, revenue records | 5-10 days | $2,000-$5,000 |
| Service business (LLC, S-Corp) | Certified Appraisal | Financial statements, tax returns | 2-4 weeks | $3,000-$10,000 |
| Recently funded (last 12 months) | Funding Round Docs | Term sheet, cap table, investor letters | Immediate | $0 |
| Private company with liquidity | Secondary Sale Records | Transaction docs, buyer agreements | Immediate | $0 |
Why Most I-864 Applications Using Equity Get Rejected
USCIS rejects business equity submissions for five main reasons:
- Lack of Independent Valuation Report USCIS requires more than writing a letter saying that “I am valuing my company for the purposes of EB-5 at a price of $3 million.”
- Locked-up Shares due to Vesting/Restrictions USCIS may find it hard to justify the liquidation of vested/restricted shares of a private company because of the inability to do so within 12 months.
- Unsubstantiated Overvaluation Without market support, USCIS will not accept “potential of becoming a unicorn,” justifying a company valuation of $10 million without any market evidence of that potential.
- Not Demonstrating Evidence of Liquidity. Even after establishing an acceptable independent valuation, USCIS expects evidence proving that investors can get liquidation within 12 months.
- Self-Made Estimation Founders are usually confident about the value of their own stock in the business, but USCIS does not care about that.
Step-by-Step Preparation Checklist: Using Equity for Your I-864
If you’re ready to use business equity, follow this process:
- Step 1: Calculate Your Shortfall. Determine the difference between your annual income and 125% of the poverty line. Multiply the difference by 3 for U.S. citizen sponsors or by 5 for permanent resident sponsors. This is your minimum asset requirement.
- Step 2: Request a Formal Valuation, 409A Valuation, or Independent Appraisal. This step is crucial; it is the most critical document that USCIS will consider.
- Step 3: Gather Liquidity Documentation. Provide your company’s cap table, investment documents, or secondary transactions. USCIS requires evidence of liquidity, which means that your ownership stake could be sold at any time.
- Step 4: Create a Documentation Packet. Combine your valuation report, cap table, and investment records into a single document package. Add a letter introducing the information.
- Step 5: File I-864 with Documentation. Attach your packet with your I-864 form. If your lawyer handles the application process, send your valuation report before the deadline.
FAQ
Below are answers to the most common concerns sponsors have when leveraging their ownership in a business to meet USCIS financial requirements.
Can I use my business equity even if my income already meets the threshold?
Yes, but there’s no reason to, because if your income already meets the 125% poverty guideline, you don’t need to submit additional asset documentation at all.
Can my business itself be a sponsor for the I-864?
No. Only individuals (U.S. citizens or lawful permanent residents) can sponsor on Form I-864. A business entity cannot file as a sponsor, but you can use your ownership stake in that business as a personal asset.
What if my business is not profitable? Can I still use its assets?
Yes. USCIS looks at the fair market value of your ownership stake, not whether the business is currently profitable. A formal valuation will assess the company’s value based on assets, revenue potential, and market conditions, and not just current profit.
Will USCIS contact my business or request additional information?
Possibly. USCIS may issue a Request for Evidence (RFE) requesting clarification of the valuation, updated financial statements, or proof of liquidity. Having thorough documentation upfront reduces the likelihood of an RFE.
Can I use the equity from a business I partially own with my spouse?
Yes, but only your ownership percentage counts. If you own 50% of a company valued at $1 million, your equity value is $500,000. Make sure the cap table or ownership documents clearly show your individual stake.
Start Your Documentation Now With Eqvista
Business equity absolutely can meet USCIS I-864 requirements. After following these steps, you join thousands who use it successfully every year.
- Calculate your income gap and asset requirement using the 3x or 5x multiplier
- Order a third-party valuation (409A or certified appraisal) from a credible firm
- Gather proof of liquidity (cap table, funding docs, transaction records)
- Organize your complete documentation package before submitting the I-864
Approval versus rejection hinges on one factor: Documentation.
USCIS rejects equity submissions due to insufficient, non-defensible documentation, not because they lack value. Self-written or informal estimates, or optimistic projections, won’t work.
If you’re filing I-864 and need to use your business equity, don’t risk rejection by cutting corners on the valuation. Get it done right the first time.
Filing I-864 and need a USCIS-compliant 409A valuation? Eqvista provides independent, IRS-compliant business valuations trusted by immigration attorneys and USCIS reviewers. Turnaround in 5-7 business days. Start your valuation now.
