What is EB5 Immigration Visa

        USCIS administers the Immigrant Investor Program, also known as “EB-5,” created by Congress in 1990 to stimulate the U.S. economy through job creation and capital investment by foreign investors. Under a pilot immigration program first enacted in 1992 and regularly reauthorized since, certain EB-5 visas also are set aside for investors in Regional Centers designated by USCIS based on proposals for promoting economic growth.
 
Two types of EB5: 
 
        Invest to own business：EB-5 investor visa applicants have two main investment options： direct invest or regional center invest.  Direct investors must invest in a new commercial enterprise, which is a commercial enterprise of: 
  • Established after Nov. 29, 1990, or
  • Purchased and the existing business is restructured or reorganized in such a way that a new commercial enterprise results, or
  • Expanded through the investment so that a 40-percent increase in the net worth or number of employees occurs
And direct investor must meet direct job creation Requirements
 
  • Create or preserve at least 10 full-time jobs for qualifying U.S. workers within two years (or under certain circumstances, within a reasonable time after the two-year period) of the immigrant investor’s admission to the United States as a Conditional Permanent Resident.
  • Create or preserve either direct or indirect jobs:
  • Direct jobs are actual identifiable jobs for qualified employees located within the commercial enterprise into which the EB-5 investor has directly invested his or her capital.
  • Indirect jobs are those jobs shown to have been created collaterally or as a result of capital invested in a commercial enterprise affiliated with a regional center by an EB-5 investor. A foreign investor may only use the indirect job calculation if affiliated with a regional center.

Invest to Regional Centers:

        EB-5 investor visa applicants can also make their investment in an EB-5 Regional Center. This option may be best for those who are more interested in the immigration goals of EB-5 rather than obtaining a maximum return on their investment. Regional centers receive designation from USCIS to administer EB-5 investment projects. Regional centers are responsible for adhering to USCIS EB-5 program regulations. This takes strain off of the investors so that they are not solely responsible for meeting program requirements. As a result, investment through regional centers suits those who want a more hands-off approach, where they are not responsible for the direct management of their investment. Roughly 90 percent of all EB-5 applicants invest through a regional center. 

This article is for background purposes only and is not intended as legal advice or legal document. Please contact a professional immigration attorney for legal consultation and service.