International students frequently ask whether they can use STEM OPT to work for a startup they founded or co-founded.
Potentially, but forming a company and putting yourself on its payroll does not by itself create a qualifying STEM OPT employment arrangement.
STEM OPT is subject to specific employer, training, supervision, compensation, E-Verify, and Form I-983 requirements. For a founder-owned startup, the important question is whether the company can independently satisfy those requirements and provide a bona fide STEM training opportunity.
For founders, this issue should be evaluated before beginning work for the startup.
STEM OPT Has Additional Employer Requirements
The 24-month STEM OPT extension is more structured than the initial period of post-completion OPT.
Among other requirements, a STEM OPT employer generally must:
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participate in E-Verify;
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provide a qualifying training opportunity directly related to the student's STEM degree;
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employ the student for at least 20 hours per week;
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complete and comply with Form I-983, Training Plan for STEM OPT Students;
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provide appropriate supervision and evaluation of the student's training; and
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provide compensation and other terms and conditions that are commensurate with those provided to similarly situated U.S. workers.
The Form I-983 requires the employer to describe the student's role, learning objectives, methods of supervision, and how the employer will evaluate the student's progress.
For an established company, identifying the employer and supervisor may be relatively straightforward. A founder-owned startup can present a more complicated analysis.
Can a Founder-Owned Startup Be a STEM OPT Employer?
A student's ownership interest in a company does not, by itself, answer the question.
The focus should be on whether the company is a bona fide employer capable of complying with the STEM OPT program requirements and providing the training, supervision, and evaluation described in the Form I-983.
Important questions include:
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Is the startup enrolled in E-Verify?
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Does it have an EIN and genuine business operations?
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Is the proposed position directly related to the student's qualifying STEM degree?
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Will the student work at least 20 hours per week?
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Who will supervise the student's work and training?
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Who will evaluate the student's progress?
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Who has authority to make the employer certifications on Form I-983?
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Does the company have the personnel and resources necessary to provide the proposed training?
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Are the compensation and working conditions appropriate under the STEM OPT rules?
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Does the company's actual governance and operating structure support the employment arrangement described in the I-983?
These questions can be particularly important for very early-stage companies.
A two-founder pre-seed startup, for example, may present different supervision and training issues from a company with an established management team, employees, board members, or other personnel capable of exercising meaningful oversight.
The Form I-983 Matters for Founder-Owned Companies
The Form I-983 should not be treated as a paperwork exercise.
The employer must identify an appropriate official with signatory authority who is familiar with the student's goals and performance. The training plan must also explain how the employer will provide supervision and evaluate whether the student is acquiring the knowledge and skills identified in the plan.
That can create a structural issue when the student is also the founder or a significant owner of the company.
The question is not simply whether someone else can sign the form. The company's actual operations should support the representations being made about training, supervision, evaluation, and the employment relationship.
A founder considering STEM OPT employment through a startup should therefore evaluate the corporate and supervisory structure before preparing the I-983.
Can a STEM OPT Student Have Two Employers?
Yes, provided each employment arrangement independently satisfies the STEM OPT requirements.
For example, a student may want to remain employed by an established company while simultaneously beginning work for a startup the student co-founded.
Each STEM OPT employer and training opportunity must independently qualify. Among other requirements, each employer must participate in E-Verify, a separate Form I-983 must be completed for each training opportunity, and the student must work at least 20 hours per week for each employer.
Keeping an existing STEM OPT job therefore does not automatically make employment with the startup permissible.
The startup must qualify on its own.
What If the Founder Has a Pending I-485 and Employment Authorization Application?
Some international student founders are simultaneously pursuing permanent residence and may have a pending Form I-485 adjustment-of-status application.
That can create an additional immigration-planning question.
An adjustment applicant may be eligible for separate employment authorization based on the pending I-485. Once valid adjustment-based employment authorization is available, it may provide a different basis for working for the startup.
But the availability of another form of work authorization does not necessarily mean that a student should immediately stop maintaining F-1/STEM OPT status.
The decision may depend on factors including:
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the basis and strength of the underlying immigrant petition;
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whether maintaining an underlying nonimmigrant status provides strategic value;
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the timing of the adjustment-based EAD;
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anticipated international travel;
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the nature of the proposed startup employment; and
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possible future H-1B, O-1, or other immigration strategies.
A pending EAD application, however, should not be confused with employment authorization. Filing an application for an EAD does not itself authorize employment.
For founders with both STEM OPT and a pending adjustment case, the timing of a move to the startup should therefore be considered as part of the broader immigration strategy.
STEM OPT May Be Only the Beginning of a Founder's Immigration Strategy
For many international founders, STEM OPT is a temporary stage in a longer immigration plan.
Depending on the founder's circumstances, future options may include H-1B, O-1, EB-1A extraordinary ability, or an EB-2 National Interest Waiver.
H-1B for Startup Founders
A founder-owned company may potentially petition for H-1B classification on behalf of its founder if the applicable H-1B requirements are satisfied.
Founder ownership therefore does not necessarily end the H-1B analysis. The company's operations, the proposed specialty occupation, the beneficiary's qualifications, compensation, ownership structure, and applicable requirements for beneficiary-owners should all be evaluated.
O-1 for Startup Founders
Founders with substantial evidence of recognized accomplishments may consider O-1 classification.
The analysis is evidence-driven. Raising capital or founding a company does not by itself establish extraordinary ability. The strength of the case depends on the founder's record of achievement and recognition and how the evidence satisfies the applicable O-1 standards.
EB-1A for Startup Founders
Highly accomplished founders may also consider the EB-1A extraordinary ability classification.
Meeting at least three regulatory evidentiary criteria is only the first stage of the analysis. The overall record must ultimately establish the level of extraordinary ability and sustained national or international acclaim required for EB-1A classification.
For founders, evidence of the significance and impact of their work can be particularly important.
EB-2 National Interest Waiver for Founders
An EB-2 National Interest Waiver may be another possibility where the founder qualifies for EB-2 and can establish the requirements for a national interest waiver.
A strong case ordinarily requires more than showing that a startup has an innovative product or business plan. The proposed endeavor, its prospective impact, the founder's ability to advance it, and the evidence supporting the national-interest analysis all matter.
Frequently Asked Questions
Can I work for my own startup while on STEM OPT?
Potentially. A founder-owned startup must independently satisfy the STEM OPT employer and training requirements. The analysis should address E-Verify participation, the qualifying position, Form I-983, compensation, supervision, evaluation, and whether the company can genuinely provide the proposed STEM training.
Can I sign my own Form I-983 as both the student and the employer?
The Form I-983 requires the employer certification to be made by an appropriate employer official with signatory authority who is familiar with the student's goals and performance. A founder-owned company should have a legitimate structure supporting the employer's supervision, evaluation, and certifications rather than treating the student as both sides of the training relationship.
Can I have two jobs on STEM OPT?
Yes, potentially. Each employer and training opportunity must independently satisfy the STEM OPT requirements. Each generally requires its own Form I-983, E-Verify participation, and at least 20 hours of qualifying employment per week.
Can I keep my current STEM OPT job and also work for my startup?
Potentially, but the existing employment does not cure deficiencies in the startup's arrangement. The startup must independently qualify as a STEM OPT employer and provide a compliant training opportunity.
If I receive an EAD based on a pending I-485, should I stop using STEM OPT?
Not necessarily. Whether and when to rely on adjustment-based employment authorization instead of maintaining F-1/STEM OPT should be evaluated in the context of the individual's overall immigration strategy.
Immigration Planning for International Startup Founders
Immigration and business decisions frequently intersect for international founders.
Forming a company, accepting founder equity, beginning work, leaving an existing employer, raising capital, and changing the basis of employment authorization can have immigration consequences.
For that reason, a founder considering employment with a startup while on STEM OPT should evaluate not only whether the immediate employment arrangement complies with STEM OPT, but also how that decision fits into a longer-term immigration strategy.
The Law Offices of Fariba Faiz, P.C. advises startup founders, entrepreneurs, professionals, and U.S. companies on employment-based immigration strategies, including STEM OPT transition planning, founder H-1B petitions, O-1 extraordinary ability petitions, EB-1A extraordinary ability petitions, and EB-2 National Interest Waivers.
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Disclaimer: This article is provided for general informational purposes only and does not constitute legal advice. Adjustment-of-status eligibility, employment authorization, travel and portability issues are fact-specific and may be affected by changes in law or government policy. Reading this article does not create an attorney-client relationship.

