Is the New $100,000 H-1B Visa Fee a Death Sentence for Small Business Growth?
When the President announced a $100,000 annual fee for new H-1B visas, the headlines focused on big tech. But let’s cut through the noise: the true losers in this policy shift will be small businesses.
What Changed
Beginning September 21, 2025, every new H-1B visa petition will carry a $100,000 annual price tag. That’s a staggering jump from the few thousand dollars companies currently pay. Existing visa holders and renewals are exempt, but anyone seeking new international talent will face this wall of cost.
The Unfair Competitive Advantage
Here’s the problem:
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Enterprise giants like Amazon, Google, and Microsoft can absorb $100,000 per employee. They’ve got the cash flow, the legal teams, and the margins.
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Small and mid-size businesses don’t. For a startup or a 7-figure company operating on tight budgets, hiring a specialized engineer or technical lead from abroad just became impossible.
This change doesn’t just affect hiring decisions. It entrenches the divide between those who can pay to compete globally and those who cannot. It’s not about protecting American workers; it’s about pricing small businesses out of the talent market.
Why It Matters for Growth
Small businesses are often the ones pushing innovation in local communities. They bring in specialized skills — from tech to biotech to engineering — to scale. If they can’t afford to hire beyond U.S. borders, they risk stagnation. Meanwhile, larger enterprises will continue to dominate, pulling further ahead and widening the competitive gap.
Let’s not forget: less than 4% of women-owned businesses ever reach $1M in sales. Adding another barrier like this makes breaking through even harder.
The Bigger Question
Is this new law designed — intentionally or not — to prevent small businesses from growing? Because in practice, that’s exactly what will happen.
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It reduces access to global talent.
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It tilts the hiring field in favor of corporations.
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It limits growth potential for entrepreneurs already battling rising costs, inflation, and competition.