How to Prove Managerial Capacity

For individuals seeking to work or immigrate to the United States through the L-1A Intracompany Transferee Visa or the EB-1C Multinational Executive or Manager green card, one of the most crucial—and often misunderstood—requirements is proving managerial capacity. This is a well-defined legal standard that must be satisfied through concrete evidence. Without it, U.S. Citizenship and Immigration Services (USCIS) will not approve the petition. 

Although the L-1A is a nonimmigrant visa and the EB-1C is an immigrant petition that leads to a green card, both filings share a common requirement: the applicant must have worked abroad in a managerial or executive capacity and must be coming to the United States to fill a similar role within the U.S. company. Simply holding a title like “Manager” or “Director” is not enough. USCIS requires a clear demonstration that the individual has been—and will continue to be—engaged in high-level managerial duties. 

Understanding the Four-Prong Test for Managerial Capacity 

The concept of managerial capacity is defined by regulation and evaluated through a four-prong test, which all applicants must meet: 

1. Manages an organization, department, subdivision, function, or component
   The applicant must oversee a clearly defined and vital part of the business. 
2. Supervises and controls the work of other supervisory, professional, or managerial employees, or manages an essential function
   This means the person must either manage other high-level workers or take full responsibility for a core function of the business. 
3. For people managers, they must have authority to fire, hire, or recommend personnel actions. For function managers, they must function at the senior level either in the company hierarchy or in relation to the function they manage. USCIS evaluates whether the applicant has substantial authority 
4. Exercises discretion over the day-to-day operations of the activity or function
   The individual must direct work at a strategic level, rather than perform it themselves. 

Unless all four of these prongs are supported by compelling evidence, the petition is unlikely to succeed. 

People Managers vs. Function Managers 

USCIS recognizes that managerial roles can vary, and there are two categories of managers that may qualify under the regulations—people managers and function managers.  

People managers are those who directly supervise other professionals or managers. They typically oversee teams, conduct performance reviews, approve leave, and play an active role in hiring and disciplinary actions. Their managerial authority is demonstrated through the people they manage and the decisions they make about those employees. 

Function managers, on the other hand, may not supervise staff directly but are responsible for managing an essential company function. For example, someone who oversees an international supply chain or controls corporate finance operations might qualify as a function manager. However, function managers are often subject to heightened scrutiny. USCIS looks carefully to ensure the function is critical to the organization and that the individual has real authority over how it operates—not just subject matter expertise. 

Evidence to Prove Managerial Capacity 

To pass the four-prong test and secure approval of an L-1A or EB-1C petition, petitioners must submit clear, detailed, and credible documentation. Strong evidence typically includes: 

• Organizational charts showing the applicant’s position, subordinates, and their roles within the company structure 

• Job descriptions for the applicant and their direct reports, outlining responsibilities and levels of authority 

• Employment verification letters from both the foreign and U.S. companies, describing the managerial duties performed 

• Payroll records or employment contracts demonstrating the existence and professional status of subordinate staff 

• Meeting minutes or reports that reflect the applicant’s participation in high-level strategic decision-making 

• Documentation of budgetary authority, such as approval rights over spending or control of departmental budgets 

• Internal memos or communications that show supervisory duties and oversight 

• Performance reviews conducted by the applicant, indicating control over team evaluations 

• HR policies or documentation that confirm the applicant’s authority to hire, promote, or discipline employees 

• Proof of functional oversight, such as project plans, KPI dashboards, strategic documents, or performance metrics under the applicant’s control 

Each piece of evidence helps build the case that the applicant is not performing day-to-day operational tasks but is instead directing the work of others or leading a critical part of the business. Ultimately, USCIS wants to see that the individual operates at a strategic level, with authority and responsibility consistent with true managerial capacity. 

If you have questions concerning meeting the requirements for either of these visas, our team is here to help navigate the complexities of the process. Contact us today to learn more about how we can support your business’ immigration needs.