Our question is very similar to this one: While H1B can I work on my interested Idea as Startup with no intention of earning?
We have one co-founder on a H1B visa who we want to make a legal co-founder in our company but will continue at his current job.
We expect that we will NOT be making a profit for 3-5 years (any extra revenue will be ploughed back as investments into the company till we hit certain goals), and once we meet certain goals, we hope to hire the founding H1B person for our company on a regular visa (H1B or whatever his situation is at that time).
Based on previous Q&As in OnStartups, am I correct in understanding that this should be OK? And also the best option for us is to be established as a C-level company?