What Is EAD — And Why Owning an LLC Doesn’t Mean You Can Work in the U.S.

What is ead for llc
What is ead for llc

What Is EAD — And Why Owning an LLC Doesn’t Mean You Can Work in the U.S.

Many international entrepreneurs establish an LLC in the U.S., believing it enables them to live and work legally in the country. But that’s a common and risky misconception. That’s why answering the question, what is EAD? becomes important.

 

Owning a business is not the same as having legal work authorization. If you want to operate your company from within the U.S., you need a valid employment permit, and in most cases, that means getting an EAD.

So, what is EAD, and how does it impact your ability to work for your own business? Let’s break it down clearly.

What Does EAD Mean?

Let’s start with the EAD meaning. EAD stands for Employment Authorization Document — a permit issued by USCIS that allows foreign nationals to work legally in the United States.

 

It is a physical card that:

 

  • Confirms your legal right to work

  • States your eligibility category

  • Shows the validity dates of your authorization

 

Without an EAD (or another valid visa), you are not allowed to work, even for your own LLC.

what is ead llc

Can You Work for Your Own LLC Without an EAD?

No, you can’t. While it is completely legal to own a company in the U.S. as a non-resident, that does not grant you permission to manage or operate it inside the country.

 

You can:

 

  • Form an LLC remotely

  • Own shares and receive passive income

  • Invest capital

  • Hire authorized employees

 

In particular, you cannot:

 

  • Manage day-to-day operations in the U.S.

  • Sign contracts as company representative from within the U.S.

  • Receive a salary or act as an executive

  • Perform tasks that would be considered employment

 

Even if it’s your own company, doing these things without a valid EAD or visa counts as unauthorized work, which has serious legal consequences.

Why Working Without EAD Is a Legal Risk

If you manage your business in the U.S. without work authorization, immigration authorities may consider it a violation of your visa or entry terms.

 

Consequences may include:

 

  • Immediate cancellation of your current visa

  • Denial of future visa or green card applications

  • Fines or penalties

  • Deportation proceedings in serious cases

 

For example, this applies even if you entered the U.S. as a visitor and tried to “help” your company during your stay. Running a business while on a B-1/B-2 visa, for example, is still considered unauthorized employment.

Remember: the fact that you own the LLC doesn’t exempt you from the need for a valid work permit in the U.S.

ead taxes

Does Paying Taxes or Having an EIN Replace EAD?

Not at all. While having an EIN (Employer Identification Number) is required to operate your business legally and pay taxes, it does not authorize you to work.

 

Similarly, obtaining an ITIN (Individual Taxpayer Identification Number) to report earnings does not replace a valid visa or EAD.

 

Paying taxes shows fiscal compliance, and that’s good, but it does not legalize your status or give you work rights.

How to Use Your LLC to Apply for a Work Permit or Visa

In practice, although your LLC doesn’t automatically grant work authorization, it can be the foundation to apply for a visa or EAD application.

 

EAD through Asylum or Other Status

If you have applied for asylum, TPS, or certain humanitarian programs, you may qualify for an EAD after a waiting period. The EAD application typically uses Form I-765.

 

Visa E-2 (Treaty Investor Visa)

The E-2 Visa is for nationals of countries with investment treaties with the U.S. You must invest in a real business, like your LLC, and direct its development.

 

Visa L-1 (Intra-company Transfer)

If you own a company in your home country, you can open a U.S. branch (e.g., an LLC) and request transfer as an executive or manager. with a L-1 Visa.

 

Visa EB-5 (Immigrant Investor)

The EB-5 Visa is a green card route through a larger investment that must create U.S. jobs. Your LLC can qualify if it meets the requirements.

 

In each of these cases, your LLC acts as a launch pad for a visa — but not a replacement for one.

what is ead attorney help

How Long Does a Work Visa Last?

Many ask: how long does a work visa last?
It depends on the visa type:

 

  • EADs: usually valid for 1–2 years, renewable

  • E-2: renewable in 2-year increments

  • L-1: up to 7 years total

  • EB-5: leads to permanent residency

 

That said, regardless of duration, all of these options must be approved before you engage in work.

Recommendations for International Entrepreneurs

Don’t assume your LLC allows you to work
Until you get a valid EAD or visa, limit yourself to being a passive owner.

 

Use your company strategically
Build a real business, keep records, and use it to support your visa or EAD application.

 

Seek legal guidance early
Work with an immigration attorney to evaluate your status and visa options before taking any action inside the U.S.

Want to Work Legally in the U.S. Through Your Business?

Your LLC is a solid first step, but without work authorization, you risk your legal future.

 

At Loigica, we help entrepreneurs:

 

  • Structure their LLCs for immigration

  • Understand the EAD application process

  • Apply for E-2, L-1 or other suitable work visas

  • Operate legally and confidently in the U.S.

 

Schedule a consultation and move forward with a real legal strategy