The Different EB-5 Visa Investment Programs
There are two main EB-5 programs - the Stand-alone Direct EB-5 Visa Program and the EB-5 Regional Center Pilot Program.
Option 1 - Standalone / Direct EB-5 Visa Program
This typically involves an investment amount of atleast $1,000,000 (or $500,000 if investment is in a 'Targeted Employment Area')
In order for an applicant to qualify under the Direct EB-5 Visa program, they must meet the following requirements:
- Make an investment in a new commercial enterprise.
- Make an investment of at least $1 million into that enterprise or $500,000 if investment is in a 'Targeted Employment Area') .
- Lead to the creation of employment for at least 10 full-time U.S. workers.
- The applicant must take an active enough role in the business that he has at least a policy-making position.
The investment may consist of the contribution of various forms of capital, including cash, equipment, inventory, property, and other tangible equivalents.
Option 2 - EB-5 Regional Center Pilot Program
The Regional Center Pilot Program involves making an investment within a Designated Regional Center.
- The Regional Center EB5 programs are advantageous as they allow for indirect jobs to be counted towards the 10 job per investor requirement.
- If the project is also located within a 'Targeted Employment Area') then the investment amount required can be halved to $500,000.
The EB-5 policy management requirement is minimal in that the investor can be a limited partner and still qualify as long as the limited partners have a policy-making role. Thus, for those who are not interested in day-to-day management or running an active business, Regional Center programs offer a more acceptable inactive form of investment.
The investor is not required to live in the place of investment; rather, he or she can live wherever he/she wishes in the United States.
The EB-5 Regional Center program is ideal for the retiree or inactive investor due in large part to the "indirect employment" feature of this program. The Regional Center Program removes the employee requirement of the Regular program and replaces it with a less restrictive "indirect employment creation," which allows the investor to qualify by proving a combination of 10 direct and/or indirect employees.
Direct and Indirect jobs may be counted