Immigration > EB5 Investment Visas

EB5 Investment Visas

Employment Creation Investors receive 7.1 percent of the yearly worldwide limit. All applicants must file a Form I-526, Immigrant Petition by Alien Entrepreneur with USCIS. To qualify, an investor must invest between U.S. $500,000 and $1,000,000, in a commercial enterprise in the United States which creates at least 10 new full-time jobs for U.S. citizens, permanent resident aliens, or other lawful immigrants, not including the investor and his or her family.

The investment can be in the form of cash, equipment, inventory, other tangible property, cash equivalents and indebtedness secured by assets owned by the foreign national provided that he or she is personally and primarily liable and the assets of the new commercial enterprise are not used to secure any of the indebtedness. The investment must be acquired by lawful means.

In order to use the EB-5 category to invest in the United States, an immigrant applicant can either: invest at least $1,000,000 into their own commercial enterprise or invest at least $500,000 into a Regional Center Investment.

EB-5 Commercial Enterprise Investment

Each year, the United States provides 10,000 visas for immigrants willing to invest in a new commercial enterprise to stimulate the United States economy and create a minimum of ten full-time jobs for U.S. workers. These EB-5 category visas should be known as the red-carpet pathway to the U.S. because they allow for expedited permanent residence.

One way to invest is for the immigrant investor to create a new commercial enterprise or invest in a troubled business.

New Business Enterprise:

To qualify the investor must:

• Invest or be in the process of investing at least $1,000,000.
• Benefit the U.S. economy by providing goods or services to U.S. markets.
• Create full-time employment for at least 10 U.S. workers. This includes U.S. citizens, Green Card holders (lawful permanent residents) and other individuals lawfully authorized to work in the U.S., excluding the immigrant, his/her spouse, and children.
• Be involved in the day-to-day management of the new business or directly manage it through formulating business policy.

Troubled Business::

To qualify the investor must:

• Invest in a business that has existed for at least two years.
• Invest in a business that has incurred a net loss, based on generally accepted accounting principles, for the 12 to 24 month period before you filed the Form I-526 Immigrant Petition by an Alien Entrepreneur.
• The loss for the 12 to 24 month period must be at least equal to 20 percent of the business’s net worth before the loss.
• Maintain the number of jobs at no less than the pre-investment level for a period of at least two years.
• Be involved in the day-to-day management of the troubled business or directly manage it through formulating business policy.
• The same investment requirements of the new commercial enterprise investment apply to a troubled business investment ($1,000,000 or $500,000 in a targeted employment area).

EB-5 Regional Center Investment

While the investment for an EB-5 visa is generally $1 million dollars, an immigrant applicant can choose to invest in a USCIS-approved EB-5 Regional Center which allows for investments of $500,000 instead. A Regional Center investment goes towards commercial enterprises in rural areas or in areas with high unemployment rates. In addition to allowing for half of the ordinary investment amount for an EB-5 visa, a Regional Center investment allows you access to a green card without having to take part in daily enterprise management, or even live in the same state as the business you invested in. There is no labor requirement, and no need to have someone else petition on your behalf. Through this program, EB-5 applicants can also bring their immediate family, wives and children under the age of 21, with them to the United States.

To qualify the immigrant applicant must:

• Invest at least $500,000 into a USCIS approved Regional Center;
• And have acquired the funds for investment from a lawful and traceable source.

The investment term is generally 5 years, but the investment must, by its nature, be at risk. The regional center investment must create at least 10 full-time jobs for U.S. workers directly or indirectly. It is important to choose an approved and promising Regional Center and project to ensure this.

For more information on investing in an EB-5 Regional Center or creating your own commercial enterprise in the U.S., please contact the specialized attorneys at the Stone Haven Law Group today.