EB-5 Direct Investment Job Creation

EB-5 Direct Investment is an option open to foreign investors who want to start an enterprise in America. An EB-5 visa gives them permanent residence in exchange for starting their new enterprise. With a permanent residence status, an immigrant has all the same rights and privileges as a natural born American, except, the right to vote.

What is Direct Investment on EB5
A Direct Investment is when an immigrant invests a sum of their personal money to create a new commercial enterprise. The enterprise must have a value of $500,000 or $1,000,000 and create 10 new full time jobs. There are two ways an investor can participate in an EB-5 Direct Investment: the Regular Program or the Regional Center Program.

EB 5 Regular Program
The Regular Program has a $1,000,000 and $500,000 investor level. In the $1,000,000, the investor must contribute $1,000,000 of capital for a new business or a restructured business. Their business must also produce 10 new full time jobs for non-family members. Plus, the investor must have an active policy-making role in the business. As an incentive to create enterprises in rural and high unemployment areas, there is a lower rate of $500,000. To qualify for this visa level, the investor has to invest their money in an area with unemployment 150% higher than the national average, or, in a rural area with a population around 20,000.

EB 5 Visa Regional Centers
An EB 5 Regional Center offers the investor a “hands off” business operating option without personally having to create 10 jobs. Instead, a government pre-approved regional center receives and controls the investment funds so the investor does not have to personally run the enterprise. A management team then handles the affairs of the investor’s enterprise. The investment in a Regional Center Program is only $500,000 because most enterprises are located in areas with high unemployment.

How to Get an EB-5
To qualify for an EB-5 visa, the investor must submit personal, financial, and legal information. They must prove they have $1,000,000 net worth according to USCIS regulations. They must have an annual income of $20,000. And, their capital must come from a legal source such as a salary or property sale. In addition, they must also fill out and submit a 1-526 petition along with other personal documents.

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