Indians contributed to the maximum number of billion dollar startups (14), according to a study by the National Foundation for American Policy that was released last year.
"The US market has a bigger opportunity. For entrepreneurs, scaling up their business is faster in the US because of the ecosystem over there," says an executive of a venture capital firm, who did not want to be named. "It makes it much harder for Indian entrepreneurs to move to the US"
The executive said the ability to raise large funds would become a challenge if the person does not have access to markets such as the US.
The move to delay the startup visa programme is part of the Trump administration's strategy to reduce immigration of people into the US. Since he took over as President, Trump has said that he would execute his promise of building a wall on the border with Mexico to reduce immigration. He has imposed restrictions on travel from several Muslim nations.
At the same time, he has asked the state Department to review the H-1B visa programme to restrict lower qualified technology professionals from entering the US. The latest push to delay the startup visa programme comes despite appeals by the US technology industry.
Despite achievements of these immigrant founders and their companies in the US, a startup visa would be an important addition to the US immigration system, since currently, it can be difficult for foreign-born entrepreneurs to stay and grow their business in the US. The low quota on H-1B temporary visas also can make it difficult for startups to hire new personnel in their fast-growing businesses, the study added.