Gas Station Purchase for E-2 Investors can be a Sound Choice
Throughout the US you will always find a gas station for sale. Many of them have a price tag that just suits the E2 visa seeker. Most are branded and are situated on busy routes so attract trade day and night.
Apart from the price, they suit an E2 visa because they provide employment for Americans and cannot be run by one person. They normally come with additional services such as a small convenience store stocking general supplies, as well as vehicle maintenance products such as oil, batteries and cleaning materials. Some are open 24 hours a day while others are open from dawn to dusk. To ensure all the services are covered throughout the opening times it would mean employing sufficient and reliable staff while you pitch in and supervise the overall running of the gas station.
$250,000 will buy a well situated gas station with a stable flow of customers which would ensure your income will be more than liveable for you and your family. This is another requirement for the E2 visa.
There’s always room for expansion when purchasing a gas station as you can add a café selling meals and takeaways and you can add an ATM machine too, which is a great way to attract customers.
There are some things that you may need to know before taking over a business like this but nothing more than an hour’s tuition from the seller. This will set you in the right direction to running a profitable business.
There are two ways of purchasing a gas station. The first is to buy a franchise of an oil company or you can buy an independent gas station. If you choose a franchise you are obligated to purchase gas and other fuel types from the franchiser and you have to participate in their promotions and fit into their policies. There is one benefit of this type of ownership as you are not responsible for the environmental side of the business.
If you decided to opt for ownership of an independent gas station then you can choose where you purchase your fuel. This may enable you to buy fuel at a more competitive price from a local distributor. With this type of ownership you will be responsible for all environmental issues associated with the business.
There has been a move in recent years to convert gas stations to self service units. This means there are fewer employees. This should not affect purchasing a gas station for an E2 visa as there is normally a café and convenience store attached to the gas station, which are open long hours, so there should be plenty of opportunity to employ several employees who are just working in this side of the business.
Applications for an E-2 visa require proof of a contract which establishes the transferral of ownership and movement of funds into an escrow account which holds your investment until the visa is approved. Consular officials will want to sight a business plan which provides independently documented figures indicating that the business you are purchasing will provide a sufficient return on your investment for the foreseeable period. It is sensible to employ an accountant to audit the gas station’s business records and tax returns over the last few years to provide a detailed summary of the profitability of the gas station you are considering buying.