1. What is the EB-5 Immigrant Investor Program?
The EB-5 Immigrant Investor Program is a US government visa program that provides foreign investors the opportunity to obtain permanent residency in the United States through investing in a new commercial enterprise that creates at least 10 full-time jobs for US workers. The investment must be at least $1 million, or $500,000 in certain rural and high-unemployment areas. To be eligible, investors must demonstrate that their investment comes from a lawful source and that they have a managerial role in the enterprise. Upon approval, investors and their family members receive conditional permanent residence in the US. After two years, if the investor has met all program requirements, their conditional residence is converted to permanent residence.
2. What are the eligibility requirements for the EB-5 Program?
To qualify for the EB-5 Program, an individual must:
• Invest at least $1.8 million (or at least $900,000 in certain targeted employment areas) into a new commercial enterprise.
• Create or preserve at least 10 jobs for qualified U.S. workers within two years.
• Demonstrate that the investment capital was obtained through lawful means.
• Demonstrate the investor has managed the capital and is actively involved in the management of the new commercial enterprise.
• Demonstrate that the investor intends to remain in the U.S. permanently as a lawful permanent resident.
3. What is the minimum investment for the EB-5 Program?
The minimum investment amount for the EB-5 Program is $1,000,000 USD. There is an exception to the standard minimum investment amount, however, for certain high-unemployment or rural areas, the minimum investment amount is reduced to $500,000 USD.
4. What are the job creation requirements for EB-5 investments?
The EB-5 program requires investors to create a minimum of 10 full-time jobs for U.S. workers. These jobs must be created within two years (or in some cases, within reasonable time frames specified by the relevant regional center) of the investor receiving permanent residence. Additionally, the jobs must be direct job positions, meaning that the investor must directly hire the employees, or indirect job positions, meaning that the investor may hire subcontractors to create jobs for U.S. workers.
5. How long is the processing time for EB-5 applications?
The processing time for EB-5 applications varies widely, depending on the applicant’s individual circumstances and the backlog of applications at U.S. Citizenship and Immigration Services (USCIS). Generally speaking, it can take from 12 to 18 months for an application to be processed, but it can take longer in some cases.
6. What is a Regional Center?
A Regional Center is an organization or entity approved by the U.S. Citizenship and Immigration Services (USCIS) to facilitate investment in a specific region of the United States. Regional Centers are authorized to sponsor foreign investors for an EB-5 visa, which enables the investor to obtain a Green Card if certain economic and job creation requirements are met. Regional Centers are a great option for those who do not want to invest in a business from scratch, as they already have business plans and projects in place.
7. What geographic locations are eligible for an EB-5 investment?
EB-5 investments can be made in any geographic area in the United States. The geographic area must be a “Targeted Employment Area” (TEA), which is typically a rural area or area of high unemployment that has been designated as such by the state. Alternatively, the investment can be made in a Regional Center, which are established by USCIS to focus on specific economic development goals. Regional Centers can cover entire metropolitan areas or multiple states.
8. How does the EB-5 Program compare to other visa categories?
The EB-5 Program is a type of U.S. visa that allows foreign investors to obtain permanent residency in the United States. This visa category provides investors with an opportunity to invest in a commercial enterprise and create jobs in the U.S. in exchange for an investment of at least $1 million (or $500,000 in a Targeted Employment Area). Unlike other visa categories, the EB-5 Program does not require applicants to have an employer offer them a job or fulfill any other labor qualifications. It is also not subject to annual numerical limits like other visa categories. Additionally, EB-5 Program applicants do not need to demonstrate a minimum skill level or maintain certain language requirements, unlike other visa categories.
9. What are the advantages of investing in an EB-5 Program?
The advantages of investing in an EB-5 Program include:
1. Permanent Residency: An EB-5 investment can be the fastest route to U.S. permanent residency (green card) for foreign investors and their family members.
2. Reasonable Investment Amount: The minimum investment amount required to qualify for an EB-5 is relatively low, compared to other visa categories that require large investments.
3. Job Creation: An EB-5 investment must create at least 10 full-time jobs for U.S. workers in order to qualify.
4. Path to Citizenship: After five years of holding a green card, the investor and family members can apply for U.S. citizenship if they meet certain requirements.
5. No Need to Manage Business: Unlike other visa categories, investors don’t need to manage the day-to-day operations of their business.
10. What types of businesses are eligible for EB-5 investments?
EB-5 investments are typically made in businesses that meet the requirements of Job Creation and Capital Investment in the United States, as determined by the United States Citizenship and Immigration Services (USCIS). Generally speaking, eligible businesses include:
1. New commercial enterprises that are created solely to receive the EB-5 investment.
2. Existing for-profit businesses that will expand through the EB-5 investment.
3. Regional Centers that promote economic growth in a specific geographic area.
4. Joint venture business partnerships between two or more investors.
11. How many people can be sponsored under an EB-5 investment?
A single EB-5 investment can sponsor up to 10 people, including the investor and their family members.
12. What is the difference between a direct and indirect investment in an EB-5 Program?
A direct investment in an EB-5 program is when a foreign national puts money directly into a new commercial enterprise (NCE) or a regional center program. The funds are used for job creation and other activities that promote economic growth. An indirect investment is when the foreign national invests the funds in a limited partnership or loan arrangement that is used to finance projects within a NCE or regional center. The investor does not have direct control over the business activities, but still receives the same benefits as if they had funded the project directly.
13. Are there any restrictions on who can invest in an EB-5 Program?
Yes, there are restrictions on who can invest in an EB-5 program. To be eligible for the EB-5 Program, the investor must demonstrate that the source of their funds is lawful. The investor must also have a minimum investment of $900,000 or $1.8 million depending on the location of the project. Additionally, the investor must demonstrate that their investment will create or preserve at least 10 full-time jobs for qualified US workers.
14. What documents are needed to apply for EB-5 status?
In order to apply for EB-5 status, an applicant must submit a variety of documents, including the following:
– Form I-526, Immigrant Petition by Alien Entrepreneur;
– Evidence of lawful source of funds or capital investment;
– Business plan that demonstrates that the investment will create jobs;
– Evidence of investor’s financial worth;
– Evidence of investor’s managerial and/or business experience;
– Evidence of the investor’s immigration history;
– Passport and other proof of identity documents;
– Proof of English language proficiency;
– Evidence of investor’s legal residence in the United States (if applicable); and
– Additional documents to support the EB-5 petition.
15. How long does it take to receive permanent residency through the EB-5 Program?
The average processing time for permanent residency through the EB-5 Program is typically between 18 and 24 months.
16. How much money can be raised through an EB-5 offering?
The minimum investment required for an EB-5 offering is $500,000. There is no maximum amount of money that can be raised through an EB-5 offering. The amount of money raised depends on the number of EB-5 investors who are willing to invest in the offering and the size of their individual investments.
17. Is there a limit on how many people can invest in an EB-5 Program?
No, there is no limit on how many people can invest in an EB-5 program. However, the U.S. Citizenship and Immigration Services (USCIS) sets an annual cap of 10,000 visas for the EB-5 program each year.
18. Do I have to maintain my investment after being granted a green card through the EB-5 program?
Yes, you are required to maintain your investment in the new commercial enterprise for at least a minimum of two years in order to satisfy the requirement that you have invested or are actively in the process of investing the required amount of capital and creating at least 10 new jobs. After the two year period, depending on your individual situation, you may be required to maintain your investment for a longer period of time.
19. Is there a language requirement for applicants of the EB-5 program?
No. There is no language requirement for applicants of the EB-5 program. However, applicants must be able to demonstrate basic proficiency in English and/or the language of their native country in order to qualify for their investment.
20. Can I use funds from my family members to meet the capital requirements of my application to the EB-5 Program?
Yes, funds from family members may be used to meet the capital requirements of an EB-5 application. However, when submitting evidence of the source of funds, it is important to provide comprehensive evidence to show that the family members are lawfully entitled to the funds in question and that the funds were legitimately acquired.