The EB-5 program is one of the most popular pathways to obtaining a U.S. Green Card. The program grants U.S. permanent residency to foreign nationals who can invest substantially in the U.S. economy and create at least ten full-time jobs for American workers.

It has become increasingly sought after by high-net-worth individuals of diverse nationalities, with Indian and Chinese nationals topping the list of applicants. The reforms and policy changes that came with the EB-5 Reform and Integrity Act (RIA) of 2022 only further increased the demand for EB-5 visas by Indian investors.

In this article, we’ll outline the benefits the EB-5 program offers to Indian investors and how you can fast-track your immigration journey with the EB-5 visa route.

Direct Route to U.S. Permanent Residency

One of the most attractive benefits the EB-5 visa offers is a direct route to U.S. permanent residency and eventual citizenship.

The EB-5 Immigrant Investor Program was introduced by the U.S. Congress in 1990. It grants U.S. permanent residency to foreign investors and their immediate family members (spouse and unmarried children under 21) in exchange for an investment of $1.05 million, or $800,000 in targeted employment areas (TEAs).

While other pathways exist for Indian nationals to obtain a U.S. Green Card, most involve longer processes that create uncertainty. The EB-5 visa route also has fewer restrictions compared to most other immigration pathways. It does not require exceptional ability, educational qualification, professional accomplishment, or employer sponsorship.

Once you receive your EB-5 visa, you and your dependent family members can live, study, and work anywhere in the U.S. You’ll also enjoy freedom of travel in and out of the U.S. without restrictions.

You can become eligible for U.S. citizenship by naturalization after five years of residence in the U.S. with your EB-5 Green Card. The initial two-year conditional permanent residency period also counts towards the five-year qualifying residency period for your citizenship application.

Fast-Track Immigration

The primary challenge Indian nationals face when seeking U.S. permanent residency is the extensive backlog in employment-based Green Card applications. This is because, for several decades now, the annual demand for U.S. immigrant visas from Indians far exceeds the amount allocated by USCIS, creating a year-on-year waitlist.

According to recent USCIS data, over one million Indians are on the waitlist for employment-based visas. Some may have to wait years or even decades to be considered for a Green Card.

The EB-5 program offers Indians a pathway to escape the long wait times for a Green Card. Indians can benefit from the concurrent filing provision and reserved set-aside visas where there are currently no backlogs or extra wait time. We’ll discuss these advantages in the sections below.

Set-Aside Visas

RIA 2022 established a reserved “set-aside” visa sub-category that has improved EB-5 processing times for Indians and other high-demand nationalities. It allocates 32% of the annual EB-5 allocation as a set-aside visa quota: 20% for rural TEA projects, 10% for high-unemployment area projects, and 2% for developmental infrastructure projects.

Indian investors can avoid backlogs in the unreserved EB-5 category and receive their Green Cards quickly by investing in projects that qualify for the set-aside visa quota. Rural set-aside visas also receive priority processing from USCIS, and many investors have received I-526E approval within 12 months.

By investing in rural TEA projects, Indian investors can receive their Green Cards within months instead of waiting for several years or decades in the unreserved category.

Concurrent Filing

The concurrent filing option is another beneficial provision of RIA 2022. It allows EB-5 investors already in the U.S. on nonimmigrant visas to simultaneously file for adjustment of status (I-485), employment authorization, and travel authorization along with their EB-5 petition.

Indian nationals in the U.S. on nonimmigrant visas such as F-1 and H-1B visas are significant beneficiaries of this provision. They no longer have to leave the U.S. and apply for the EB-5 visa through consular processing or apply for visa renewal when their nonimmigrant visa expires.

With the concurrent filing provision, they can receive work and travel permits and enjoy the benefits of a U.S. Green Card while USCIS processes their EB-5 petition. This provision has benefited Indian H-1B professionals following the recent massive tech layoffs, allowing them to remain in the U.S. without employer sponsorship.

Enhanced Education and Employment Opportunities

The U.S. boasts some of the most prestigious educational institutions and one of the strongest economies worldwide. An EB-5 visa grants its holder and their derivative beneficiaries the freedom to study and work anywhere in the U.S.

With the EB-5 visa, your children can access world-class educational institutions. They can also benefit from scholarships and other financial aid available to U.S. citizens and permanent residents. Upon graduation, the EB-5 Green Card gives them access to limitless career opportunities in the U.S. and a stable footing to favorably compete in the job market.

Freedom and Flexibility

The EB-5 program offers the most freedom and flexibility among all U.S. employment-based visas. EB-5 rural TEA investors do not have to live near their projects or be actively involved in managing the operations of the new commercial enterprise.

It gives you more control over your life and future in the U.S. You and your family are free to live anywhere in the U.S., work for any employer you choose, open a business, attend any school or college, and travel without restrictions.

Minimal Investment and Job Creation Requirements

To qualify for the EB-5 visa, interested Indian citizens must invest $800,000 in a TEA project or $1.05 million in a new commercial enterprise outside of TEAs.

Many Indian investors prefer regional center-sponsored projects because most are located within targeted employment areas, requiring a lower investment of $800,000. It also minimizes the financial and immigration risk for the investor as most regional center projects are large-scale developments handled by experienced developers.

It can be easier for regional center investors to meet the job creation requirement for their EB-5 visa and get their funds back in a few years, since indirect and induced jobs can also be counted towards this requirement in regional center projects, as opposed to direct EB-5 investments.

Expedite Your Green Card With EB5AN

The EB-5 program is one of the fastest and easiest pathways for Indian nationals to obtain a U.S. Green Card. It enables you to avoid backlogs and long waitlists in other sponsored visa routes and offers more flexibility. It may be your best option as an Indian investor looking for a fast way to acquire U.S. permanent residency.

If you decide to pursue the EB-5 route, EB5AN can help you accelerate your journey of becoming a U.S. permanent resident. We’ve helped over 2,300 families successfully relocate to the U.S. in over a decade of practice. We offer our clients first-rate, low-risk EB-5 regional center projects with a 100% USCIS project approval rate to date.

To learn more about EB-5 regional center projects and how we can help you expedite your Green Card journey, schedule a one-on-one call with our EB-5 experts today.

The EB-5 Immigrant Investor Program, launched by the U.S. Congress in 1990, allows foreign investors to obtain U.S. Green Cards by investing in projects that create jobs. Investors must invest at least $800,000 in targeted employment areas (TEA)—or $1,050,000 in other regions—into a new commercial entity (NCE) that generates at least ten full-time jobs for U.S. workers. After the investment is made and the jobs are created, investors can apply for a two-year conditional Green Card. To later remove conditions on the Green Card and gain full permanent residency, investors must show that their money remained in the project and maintained the jobs for two years.

However, many EB-5 investors face a challenge called redeployment. This occurs when an investor’s initial EB-5 project is completed, and the jobs are created before the investor receives their permanent Green Card. When this happens, the project must return the investor’s money to comply with EB-5 rules. To ensure the investor can still get a Green Card, the funds must be reinvested into a new project that meets EB-5 requirements.

Redeployment is becoming more common due to government processing times for EB-5 applications, long waiting lists in some countries, and many EB-5 projects finishing ahead of schedule, completing construction and job creation faster than planned. However, redeployment can present significant challenges for EB-5 investors, who must reinvest their money while adhering to strict rules and protecting their investments. This can be a stressful and confusing process.

In this article, we will discuss the problems that usually accompany EB-5 redeployment, and how to deal with them.

Problems for EB-5 Investors

When redeployment happens, investors usually have no control over how their money is reinvested. The EB-5 fund managers or regional centers make these decisions, which might result in new projects that do not align with the investor’s preferences. Additionally, the new project might be riskier than the initial one, placing investors who originally chose safe EB-5 projects into potentially unstable investments. The returns from the new project might also be lower, as regional centers may focus more on compliance than on maximizing investor profits.

Moreover, investors may face longer waits to retrieve their funds, disrupting plans and causing financial difficulties if the funds are needed for other purposes. These problems can be challenging for investors who have invested significant money in the EB-5 program to obtain a Green Card, only to find the process prolonged and uncertain due to redeployment.

USCIS Rules for EB-5 Redeployment

The U.S. Citizenship and Immigration Services (USCIS) has specific rules regarding EB-5 redeployment:

• The money must be reinvested in a new project, ensuring the project continues to benefit the U.S. economy.
• The investment must remain “at risk” for at least two years, meaning the investor could lose the money and their immigration prospects if the project fails.
• Redeployment must generally occur within 12 months of the initial project’s completion. However, if delays are beyond the investor’s control, USCIS may allow for longer periods.
• The regional center must inform investors about the new project and how it complies with EB-5 rules.

However, the rules can be unclear and confusing, leading to different interpretations. This further complicates the situation for investors trying to secure their Green Cards.

What’s Next for EB-5 Redeployment

The enactment of the EB-5 Reform and Integrity Act (RIA) in March 2022 introduced new considerations regarding the definition of the sustainment period for EB-5 investments.

The RIA revised previous EB-5 guidelines, mandating that investor funds must remain invested for a minimum of two years. Before this amendment, the sustainment period was linked to the investor’s two-year conditional residency period. Consequently, under the pre-RIA rules, investors were not eligible for the repayment of their EB-5 investment until they had obtained and maintained their conditional Green Card for two years. This regulation continues to apply to those who made their EB-5 investments prior to the implementation of the RIA.

However, the new provisions about the two-year sustainment period were challenged in court by some industry stakeholders. Invest in the USA (IIUSA), a membership-based 501(c)(6) not-for-profit industry trade association for the EB-5 Regional Center Program, filed a federal lawsuit against USCIS on March 29, 2024, challenging the new policy that shortens the EB-5 investment sustainment period to two years from the date of investment.

In addition to the lawsuit, IIUSA has proposed a new regulation to extend the required sustainment period to five years. If both the lawsuit and the proposed rule are successful, they would impact the sustainment period for thousands of EB-5 investors who filed their immigrant petitions after the RIA.

How to Deal With EB-5 Redeployment

Despite the difficulties of redeployment and the current uncertainty regarding the future of the sustainment period rule, investors can take steps to protect their money and make informed decisions. Here are a few best practices:

• Carefully read all documents to understand the redeployment plans. Look for any red flags or unusual details.
• Maintain regular communication with the regional center to stay informed. Don’t hesitate to ask questions and request
• updates.
• Seek assistance from EB-5 lawyers and financial advisors. They can explain the process and help investors make decisions based on their circumstances.
• Consider investing with regional centers that have a good track record with honest redeployment.

EB5AN understands these challenges and takes a responsible approach to redeployment. We reinvest funds into similar real estate projects with the same risk profile, developer, and returns as the original investment. In Q4 of 2023, EB5AN successfully completed the Saltaire St. Petersburg waterfront condominium project by Kolter, generating over 2,000 EB-5 jobs. Kolter fully repaid the EB-5 equity investment principal. However, as the EB-5 investors were not yet eligible for repayment, EB5AN reinvested the funds into a similar waterfront condominium project by Kolter in Sarasota, Florida.

Redeployment in EB-5 investments can be complex, and each project is unique. To minimize risks, it’s important to understand every aspect of your investment, including the potential for redeployment. Schedule a call with our team today to discuss any questions you may have about redeployment, rural TEA projects, or other EB-5-related topics.

The EB-5 Immigrant Investor Program is a U.S. visa program that allows foreign investors and their eligible family members to obtain Green Cards and become permanent residents. To qualify, the foreigner must make an investment in a U.S. business that creates at least 10 full-time jobs for American workers.

There are two main types of EB-5 investments: direct investments into a new business, or investments made through an EB-5 regional center. Regional centers are organizations designated by the U.S. Citizenship and Immigration Services (USCIS) to manage EB-5 investment projects. Most EB-5 investors choose the regional center path because it simplifies the process and provides additional protection.

The minimum investment threshold for EB-5 investments in targeted employment areas (TEA) is $800,000, and $1,050,000 elsewhere. TEAs are divided into three categories: high unemployment or “urban” TEAs, rural TEAs, and select infrastructure projects.

In this guide, we’ll explore the specific benefits of rural EB-5 projects and how to best use them to get a fast-track to a U.S. Green Card.

Benefits of Investing in a Rural EB-5 Project

Lower Investment Amount

As mentioned above, the standard minimum investment amount for an EB-5 visa is $1,050,000. However, for projects located in a TEA, the minimum investment is reduced to $800,000. By selecting a strong rural EB-5 project, foreign nationals can also mitigate project failure risks and increase their chances of successfully getting their funds back.

Faster Application Processing

Under the EB-5 Reform and Integrity Act of 2022 (RIA), EB-5 investors in rural TEA projects get priority processing of their Form I-526E petition, which is the first step in the EB-5 visa process.

While processing times can be different for each case, many rural TEA investors have received I-526E approval in under 12 months, compared to several years for other categories.

Faster processing times mean that investors and their families can obtain their Green Cards much sooner. The priority processing provision only applies to rural EB-5 projects, so investors in urban TEAs or non-TEA regions cannot benefit from this opportunity.

Reserved Visa Numbers

Each year, 20% of all EB-5 visas are reserved for investors in rural TEA projects. In contrast, only 10% are reserved for high-unemployment urban TEA projects.

These reserved visas are not subject to the long backlogs that can affect other EB-5 visa categories, particularly for investors from high-demand countries like China and India. That’s why choosing a rural TEA project provides a much easier path for these investors to get a U.S. Green Card.

As of July 2024, the reserved visas for rural investors remain available, with relevant data not suggesting any backlogs soon.

What Qualifies as a Rural TEA Project?

To be designated as a rural TEA, a project must be located in an area that has a population under 20,000 and is outside of any city or town with a population of 20,000 or more.

The EB-5 rural TEA incentives were created to encourage economic growth and job creation in less populated areas that historically have not received as much investment as larger cities. By putting EB-5 funds into rural projects, the program aims to improve these communities and generate new job opportunities.

Selecting a Strong Rural EB-5 Project

While rural TEA projects offer many benefits, investors must still be careful when selecting a suitable EB-5 project. Below are some key factors to consider.

Regional Center Experience and Track Record

Look for an EB-5 regional center with a history of successful rural projects that have been approved by USCIS and delivered petition approvals to investors before. The regional center should have deep experience in understanding the EB-5 program requirements and a thorough vetting process for selecting viable projects.

Project Location and TEA Status

Verify that the project is genuinely located in a rural TEA that meets the population and geographic conditions. Be careful of projects that may try to change the population data to qualify as a TEA on paper without being in a real rural area.

Job Creation and Project Progress

Ideally, the project should already be under construction and created some jobs already. This will make it more likely that the project will meet the EB-5 job creation requirements in the future. Look for information on the project’s budget and timeline.

Financial and Legal Structure

Carefully review the project’s business plan and other financial and legal documents. The capital should include other sources of funding besides EB-5, such as bank loans, developer equity, or bond financing. A good project will also offer guarantees to investors, such as a refund if their I-526E is denied or a completion guarantee for the construction.

Repayment Terms

Find out the expected timeline for the return of your EB-5 investment, which typically happens after you get your permanent Green Card. The repayment terms should be clearly stated and realistic based on the project’s revenues and exit strategy.

EB-5 Rural Project Risks

While the EB-5 program offers a special opportunity for foreign investors to gain U.S. residency, it is not without risks. As with any investment, there is always a risk of losing money if the project fails.

There are also risks related to the immigration process, such as denial or delay of the investor’s visa petitions, changes to the EB-5 program rules, or the project failing to create the minimum number of jobs.

Investors should carefully consider these risks before making an investment decision and find a low-risk project that is likely to succeed within the given timeframe.

Throughout the investment process, it is crucial to work with experienced EB-5 professionals, including a qualified immigration attorney, to ensure you meet all requirements and handle any challenges that may arise.

Invest in EB-5 Rural TEAs with EB5AN

EB5AN has sponsored over 15 successful projects under the EB-5 Regional Center Program. All our projects have a 100% approval rate from USCIS, and all EB-5 funds are either in good standing or have been repaid.

Our EB-5 rural projects offer all rural TEA benefits listed above. Investors in these projects who are in the U.S. on other visas, including those from China and India, can apply for employment authorization documents (EADs) and advance parole (AP) travel documents at the same time as filing Form I-526E.

Read more about our low-risk EB-5 rural projects here:

Snake River Sporting Club EB-5 Rural Project (Loan)

Twin Lakes Georgia EB-5 Rural Project (Loan)

If you want to learn more about getting U.S. Green Cards by investing in a rural EB-5 project, please schedule a free meeting with our expert team today.

The EB-5 Immigrant Investor Program is one of the most straightforward pathways for foreign nationals to obtain U.S. permanent residency. It does not require exceptional professional accomplishment, skills, or employer sponsorship.

The main program requirements are an investment of $1.05 million or $800,000 (for TEA projects) in a new commercial enterprise that will create at least ten full-time jobs for U.S. workers. After a successful process, investors may also get their funds back.

However, a successful EB-5 application that’ll meet both your financial and immigration goals requires thorough due diligence. You’ll need to vet several immigration attorneys, EB-5 projects, and regional centers before deciding which best suits your needs.

One beneficial but often overlooked aspect of the due diligence process is EB-5 investor testimonials. Speaking with successful EB-5 investors, especially those with similar backgrounds as yours, can give you unique insights into the EB-5 process and help you make a more informed decision.

This article analyzes the importance of EB-5 testimonials and how they can help prospective investors make better decisions.

EB-5 Investor Testimonials as a Due Diligence Resource

When considering pursuing U.S. permanent residency through the EB-5 route, the first thing to do is to learn all you can about the EB-5 process and requirements. This will typically involve researching the EB-5 program, reading USCIS guidelines, and consulting immigration attorneys and EB-5 professionals.

You’ll find information on the various aspects of the EB-5 process online, including EB-5 project selection, regional center due diligence, filing your I-526E petition, and concurrent filing. EB5AN has also published many helpful educational articles and videos on our website and social media platforms.

However, there’s an essential aspect of EB-5 research and education that’s not often talked about. It is listening to interviews and testimonials of successful EB-5 investors.

EB-5 investor testimonials help you understand the nuances of the EB-5 process and how the EB-5 journey differs for each investor. While most online resources will educate you on important steps in the EB-5 process, they can’t offer the unique insights and perspectives you’ll get from investor testimonials.

Listening to successful investors share their experiences will help you better understand the EB-5 program and give you an idea of what to expect.

What Prospective Investors Can Learn From EB-5 Investor Testimonials

This section highlights some important insights prospective investors can gain from listening to EB-5 investor testimonials.

1. Why Choose the EB-5 Route?

Our EB-5 testimonials usually start with an overview of each investor’s background and why they decided to make an EB-5 investment.

EB5AN interviewed over 20 successful EB-5 investors, and the most common reason they chose the EB-5 visa was to expand their careers. Most of our EB-5 investors already held nonimmigrant U.S. visas, such as the H-1B and E-2 business visas. However, these visas require employer sponsorship and/or frequent renewals.

This created uncertainty about their future and their ability to remain in the U.S., especially for those who want their children to benefit from the opportunities available in the U.S. The EB-5 investment route provided a more permanent immigration solution for them.

You’ll benefit greatly from listening to their testimonials if you have a background similar to these investors.

2. How to Choose an Immigration Attorney

Like other immigration pathways, you’ll need a good immigration attorney to facilitate the EB-5 visa process. The attorney will help you compile your source of funds documentation for your I-526E petition. They’ll also help you apply for employment authorization and advance parole, in addition to guiding you through each step of the process.

By listening to investor testimonials, you’ll learn the different selection processes they used in choosing an immigration attorney. You’ll also learn the necessary qualities to consider when selecting your lawyer.

3. How to Choose a Regional Center

Regional centers are responsible for pooling EB-5 investor funds and investing them in a qualifying project. So, your choice of regional center will significantly impact your EB-5 visa success.

For most of our investors, the most important factors in choosing a regional center were the I-526E approval rate, communication, and transparency. They wanted a regional center they could trust—one that would give them access to financial statements and other documentation to review before making a decision. And many regional centers were unwilling to provide extensive documentation.

Our investors decided to work with EB5AN because of our transparency and responsiveness. They could speak to our managing partners directly and get all the information they needed for their EB-5 application.

4. How to Choose an EB-5 Project

Project selection is one of the most critical steps in the EB-5 process, and there are so many factors to consider when choosing an investment project.

First, you must decide whether to invest in a rural or an urban EB-5 project.

Most of our investors (particularly those from China and India) chose to invest in rural TEA projects. Their primary reason for selecting rural projects is to avoid EB-5 backlogs and benefit from the set-aside quota for rural TEA investments. Rural projects also receive priority processing, which is how our rural investors have been receiving I-526E approval within 12 months.

After choosing your ideal investment type, you’ll also need to select the type of project. Our successful investors have found that real estate projects offer more stability and lower risk than projects in operations-based industries such as energy and manufacturing. You’ll learn how they came to this conclusion when you watch the testimonials. The information will help you decide on your project choice.

Highlights of EB5AN’s Investor Testimonials

EB5AN has published more than 20 investor testimonials so far, and many are underway. Here are some highlights from two of our recent investor interviews.

We Obtained Work and Travel Permits in Less than 90 Days – Kaushal and Ayushi

 

Kaushal and Ayushi are originally from Mumbai, India. They came to the United States on F-1 student visas to pursue their master’s degrees. Eventually, they went through OPT and CPT and got their H-1B visas in 2021.

However, as the six-year limit for the H-1B visa approached, they became uncertain and started looking for a more permanent solution. Although they qualify for EB-2 and EB-3 visas, they’d have to wait several years to get their Green Cards due to the backlog of Indian applicants. So, they decided to look into the EB-5 program.

They began their EB-5 journey in 2023 and invested in EB5AN’s Twin Lakes Georgia project in February 2024. Thanks to RIA’s concurrent filing provision, they could file their employment authorization and advance parole petitions along with their I-526E petition.

They received their Employment Authorization Document (EAD) in about 20 days and their travel permit in less than 90 days. Now, they’re free to work for any employer and can travel in and out of the U.S. while waiting for their EB-5 Green Cards.

You can read Kaushal and Ayushi’s full testimonial or watch the interview.

I Now Enjoy Access to a More Diverse Market and Better Opportunities – Hardik

 

Although Indian-born, Hardik had lived in Canada for about 25 years. However, he felt there were limited opportunities for his career growth there. Hardik wanted to take advantage of opportunities in the U.S., but every time he applied for a role, his inability to work in the U.S. posed an obstacle. He knew he needed to find a lasting solution.

He began exploring the EB-5 program and invested in EB5AN’s Twin Lakes project in July 2023. He filed his EAD and travel authorization petitions in August and received both permits in December. His I-526E petition was approved in 12 months.

Now, he and his spouse can both benefit from the diverse work opportunities in the U.S., and their children can also receive Green Cards, securing their future in the U.S.

You can read Hardik’s full testimonial or watch the interview.

EB5AN Is Committed to Educating EB-5 Investors

EB5AN is leading the industry in providing educational resources for prospective EB-5 investors. We value communication and transparency and understand that giving potential investors full access to critical information will benefit all parties involved.

In over a decade of practice, we’ve helped over 2,300 families successfully relocate to the U.S. We offer our clients first-rate, low-risk EB-5 regional center projects with a 100% USCIS project approval rate to date.

You can schedule a free one-on-one call with our EB-5 experts today to learn more about the EB-5 program and how to take the first step toward your Green Card.

The EB-5 Immigrant Investor Program offers a unique opportunity for foreign nationals to obtain U.S. permanent residency by investing in local projects. However, the path to a Green Card through EB-5 may not always be clear. Unplanned events and challenges can occur, potentially making the wait time longer than expected. In this article, we will explore common unpredictable circumstances faced by EB-5 investors and provide strategies to deal with these challenges.

Common Unexpected Events in EB-5 Applications

Project Delays and Economic Downturns

One of the most common challenges EB-5 investors face is unexpected delays in their EB-5 projects. Construction timelines can be affected by many factors, such as supply chain disruptions, labor shortages, or adverse weather conditions. These delays can affect the project’s ability to create the jobs needed on time, potentially delaying the investor’s I-829 petition approval.

Additionally, economic downturns can affect EB-5 projects. Reduced economic activity will make job creation difficult and affect the project’s ability to generate revenue. For example, the economic issues that followed the COVID-19 pandemic caused delays and financial strain for many EB-5 projects.

Policy Changes and Regulatory Uncertainties

The EB-5 program operates within a complicated regulatory landscape. Over the years, the program has seen several changes, such as increases in investment thresholds and reforms to the regional center program. Investors should always be aware of policy shifts that can affect their EB-5 investment journey.

The EB-5 industry has constant regulatory supervision from agencies like USCIS and the SEC. Increased scrutiny or enforcement actions against problematic projects or regional centers can stop the investment process and create uncertainties for investors.

Immigration Backlogs and Geopolitical Tensions

Another significant challenge for EB-5 investors is the unpredictable nature of immigration backlogs. USCIS processing times for EB-5 petitions can be long, especially for pre-RIA applicants from countries with high demand for visas like China or India. These backlogs can delay an investor’s Green Card process, causing frustration and impacting their long-term plans.

Geopolitical tensions between the U.S. and an investor’s home country can also introduce complications. Changes in international relations and policies may affect visa processing or the transaction of investment funds.

Fraud, Mismanagement, and Natural Disasters

Unfortunately, the EB-5 program has not been immune to fraud or mismanagement. Some industry stakeholders have misused EB-5 funds, leading to project failures and significant losses for investors. Thorough due diligence is essential to mitigate the risk of falling victim to fraudulent schemes.

Natural disasters, such as hurricanes, earthquakes, or wildfires, can also pose unforeseen challenges. If an EB-5 project is located in an area affected by a natural disaster, it may suffer physical damage, construction delays, and economic setbacks. Investors should consider the potential impact of such events on their chosen projects.

Proactive Strategies for EB-5 Investors

Thorough Due Diligence

One of the most important steps EB-5 investors can take to lessen the impact of unplanned events is conducting thorough due diligence on potential projects and regional centers. This includes researching the project’s viability, market demand, and job creation potential. Investors should also carefully review the track record and reputation of the project developers and regional center.

Engaging the services of experienced EB-5 attorneys and professionals can provide valuable guidance in doing due diligence. They can assist in evaluating project documents, identifying red flags, and assessing the overall suitability of an investment opportunity.

Maintaining Flexibility and Contingency Plans

Given the unpredictable nature of any immigration process, EB-5 investors should seek to maintain flexibility and develop contingency plans. This may involve having additional funds to cover unexpected expenses or delays.

In some cases, investors may need to consider alternative options if their original EB-5 project encounters significant issues. This could involve exploring other suitable investment opportunities or working with their attorney to devise a strategy for protecting their investment and immigration goals.

How EB5AN Can Help

While the path to a Green Card may not always be smooth, with the right preparation and guidance, investors can increase their chances of success. As with any significant investment decision, understanding the potential risks and challenges is important to making informed choices and developing a strong EB-5 strategy.

EB5AN helps global investors predict such delays and gives them access to several low-risk EB-5 project opportunities. These EB-5 options are among the safest and most secure available, featuring benefits such as guaranteed job creation, expedited I-526E petition processing, and fully funded structures that do not rely solely on EB-5 capital.

If interested, please book a free consultation with EB5AN’s experienced team of EB-5 specialists, who will work closely with you to determine the most suitable EB-5 project for your specific circumstances.

Foreign nationals who want to live in the United States have different options depending on their goals. Whether you just want to work temporarily or become a citizen, the U.S. immigration system provides you with these options.

However, when trying to decide on which, it’s important to note that each investor visa option has different benefits. From investing through the EB-5 regional center program to becoming a treaty investor through the E-2 visa, you get specific benefits, but some more than others.

This article explains different pathways to getting a U.S. investor visa and discusses the benefits of investing in low-risk EB-5 regional center projects.

U.S. Investment Visas

There are two main types of investment visas in the United States: EB-5 and E-2.

The EB-5 Immigrant Investor Program was started by the U.S. Congress in 1990. Its primary aim is to stimulate the U.S. economy while providing foreign nationals with a direct pathway to U.S. permanent residency. This means that, if successful, foreign investors and their eligible family members, which include spouses and unmarried children under the age of 21, can obtain U.S. Green Cards.

The Immigrant Investor Program Office (IPO) of the United States Citizenship and Immigration Services (USCIS) manages this program. It has two different investment pathways, which will be explained in more detail below.

On the other hand, there is the E-2 Treaty Investor Visa. It only applies to foreign nationals in countries that signed a treaty with the United States. For foreign investors to qualify, USCIS requires that they make an investment in an American entity they need to actively manage.

Importantly, the investment needs to be sizable and able to boost the economy, like the EB-5 program. While there is no specified minimum investment requirement, the investment must be enough to guarantee the enterprise’s successful operation.

Also, the E-2 investor’s only purpose for coming to the U.S. must be to grow and run the business. This usually calls for holding a significant managerial role or at least a 50% ownership interest in the company. That is why this nonimmigrant visa option does not lead to a Green Card. It only allows foreign nationals and eligible families to live and work in the U.S. temporarily.

Direct vs. Regional Center Investments

As mentioned above, foreign nationals looking to immigrate to the U.S. using the EB-5 program have two options. They can either file Form I-526 for direct investments or Form I-526E for regional center investments. This section details both investment options so you can figure out which works best for you and your family’s specific circumstances.

What Is a Direct EB-5 Investment?

A direct or “standalone” EB-5 investment requires the foreign national to invest funds directly into a new business. According to USCIS’s EB-5 requirements, this business must create or save at least 10 direct, full-time jobs for U.S. workers.

To apply, the investor must first set up a business entity, such as an LLC, C-Corp, or S-Corp. After investing, the foreign investor must also actively manage the business.

The required capital investment is $1,050,000, but it can be reduced to $800,000 if the investment is in a targeted employment area (TEA). Throughout the investment term, the investor often maintains control over the investment funds and makes decisions depending on business demands.

Most EB-5 investors opt for the regional center route instead of direct investment due to several practical reasons. In a direct EB-5 project, only one investor can be involved, making it a less flexible option. Additionally, direct investments only count direct jobs created by the project, which makes meeting the job creation requirements more challenging.

Direct EB-5 investors also need to take on more responsibilities. They must get approval from USCIS for their project, which involves providing a detailed business plan and other documentation.

What Is an EB-5 Regional Center Project?

Another option under the EB-5 program is to invest in a regional center-sponsored project. This way, foreign nationals can invest in projects managed by USCIS-designated regional centers indirectly.

Regional centers can pool investments from multiple EB-5 investors. They can also count indirect and induced jobs in addition to direct ones toward the required job creation numbers.

Large-scale real estate development projects are usually the types of investments made through regional centers.

More than 95% of all EB-5 investments have historically been made through regional centers.

What Does a Regional Center Do?

Regional centers gather and allocate funds from foreign investors to EB-5 projects. They typically combine investment capital from multiple EB-5 investors, although they don’t solely rely on these funds. They also use other funding sources, such as bank loans.

Each investor must contribute the minimum needed investment amount, which is normally $1,050,000 if the project is not in a targeted employment area (TEA), or $800,000 otherwise.

To maintain their status, regional centers have to abide by USCIS standards, which include submitting yearly reports and conducting audits. They also oversee projects to ensure funds are spent according to the business plan and provide investors with quarterly reports.

How Does Investing in EB-5 Regional Center Projects Benefit You?

Pathway to Permanent Residence

If your goal is to get a Green Card for you and your immediate family members, filing an EB-5 petition is the best option. If the process is successful, you may apply to become a U.S. citizen after five years. On the other hand, eligible investors who choose the E-2 visa route cannot get permanent residence and need to keep renewing their visas.

Passive Investment Advantage

When considering the different visa options, it’s important to note the varying levels of involvement required. The major difference between an E-2 visa, direct EB-5 investment, and an EB-5 regional center investment is the amount of direct involvement you would need to have in the entity.

Direct EB-5 requires the investor to be deeply involved in both running the business and handling the immigration process. To prepare and submit a successful petition to USCIS, investors usually need to hire several professionals, such as tax consultants, securities and immigration lawyers, and business plan writers.

On the other hand, with regional center investments, most of the work is done by professionals in the regional center team. Typically, investors only need to hire an experienced EB-5 immigration attorney to help them with due diligence and source of funds processes.

Direct investments are more high-risk in that sense as well, since investors are responsible for fulfilling all EB-5 requirements alone.

Easier Job Creation

Under the EB-5 program, the new business must create 10 full-time jobs for U.S. citizens, which is key to an investment’s success.

Regional centers offer a simpler path to meet this job creation requirement. Investors can count direct jobs created by their investment, as well as indirect and induced jobs. Indirect and induced jobs are estimated by economists using standard methods and include jobs created as a result of the investment activities. This typically results in higher job creation numbers for regional center projects compared to direct EB-5 investments.

Reduced Risk in Investment

In the regional center pathway, investments can be structured as loans, often in real estate developments. This setup allows investor funds to hold a more senior and stable position in the project’s capital stack, reducing risk compared to the equity-based direct EB-5 investments.

Additionally, regional centers collaborate with developers to ensure investors can recover their money with interest. On the other hand, direct EB-5 investments rely solely on the success of the business, making them generally riskier. This collaboration and structured approach make most regional center investments a safer option for EB-5 investors.

Increased Investor Security

The EB-5 Reform and Integrity Act of 2022 (RIA) introduced stricter integrity measures for regional centers, enhancing investor security and transparency.

EB-5 regional centers now face stricter financial audits, ensuring proper use of funds and early detection of any irregularities. They must provide detailed reports on project progress and financial status. To prevent fraud, background checks are required for regional center principals and developers.

These new regulations mandate policies that protect investors’ rights and interests, including clear communication about risks, expected returns, and exit strategies.

Foreign nationals investing in rural EB-5 projects with I-956F approval also benefit from a more streamlined immigration process thanks to the RIA’s priority processing and concurrent filing provisions.

Choose the Right Investment Option With EB5AN

Choosing the right U.S. investor visa option can be challenging. It’s important to pick a pathway that fits your goals while minimizing immigration and financial risks. This is why getting help from industry professionals can make this process easier and increase your chances of success.

EB5AN stands out as a leading regional center operator with a track record of helping over 2,300 families relocate to the U.S. as permanent residents.

For more insights into how investing in EB-5 regional center projects can benefit you, feel free to schedule a free consultation with us today.

Regional centers are USCIS-approved entities that promote economic growth through foreign investment. They act as intermediaries between EB-5 projects and foreign investors seeking to immigrate to the U.S. Investors favor these projects because they offer flexibility in job creation and promise more safety through transparency and compliance.

In these projects, investors buy equity in a new commercial enterprise (NCE). The NCE then loans funds to or buys equity in a job-creating entity (JCE), which is typically the development project creating EB-5-compliant jobs.

Throughout the EB-5 process, regional centers take on various responsibilities. Among these are controlling the flow of EB-5 funds, managing loans or equity investments, and keeping investors informed with updates. Regional centers also ensure projects comply with offering documents, maintain thorough records, and oversee fund releases from escrow.

If a regional center isn’t independent, there is an increased risk of conflicts of interest between the regional center and the project developer. When selecting EB-5 projects, investors should avoid risky options to ensure their investment is safer and more compliant with regulations.

This article will cover potential conflicts of interest between EB-5 regional centers and developers, providing actionable tips on how EB-5 investors can avoid such conflicts.

Common Conflicts of Interest in EB-5 Investments

Sometimes, regional centers managing EB-5 funds are owned or connected to project developers, and they may even share the same name. This creates a conflict of interest, as the developer would then act as both borrower and lender.

Projects with affiliated regional centers may promise high returns with low risk, but investors should be cautious. Higher returns often mean higher risk. The safest projects usually offer lower returns.

Before selecting a project to invest in, foreign nationals should check for any conflicts of interest, especially between the regional center and developer. While USCIS allows some conflicts in specific cases, these must be disclosed and waived. It’s crucial for investors to have their own legal counsel review any project to evaluate risks before investing.

EB-5 success relies on the investment creating 10 new jobs and meeting other requirements. So, the project’s financial success directly affects the investor’s immigration success. Conflicts of interest prioritizing developers over investors can compromise immigrant petitions, especially if the market weakens.

If a project fails, conflicts of interest between regional centers and developers can severely harm investors. A regional center tied to the developer is likely to favor its own interests over those of EB-5 investors.

When regional centers managing EB-5 funds are independent from project developers, they avoid conflicts of interest. Independent regional centers are more likely to prioritize their EB-5 investors’ interests. For example, an independent regional center may require a developer to sell other assets to repay investors on time. Additionally, they can negotiate on behalf of EB-5 investors to ensure the required job creation occurs, protecting both the financial and immigration outcomes for the investors.

The Impact of the EB-5 Reform and Integrity Act of 2022

On March 15, 2022, the EB-5 Reform and Integrity Act (RIA) introduced new rules to ensure transparency in managing EB-5 funds. The RIA requires regional centers to prepare annual reports of their EB-5 capital for each NCE and mandates more frequent audits by USCIS.

USCIS can fine non-compliant regional centers, and even terminate them. Regional centers with conflicts of interest are at higher risk of non-compliance, which can directly affect investors.

Finding Safe EB-5 Projects With EB5AN

EB-5 investors should carefully review project documents for any disclosed financial relationships between a project’s regional center and its developer. Financial ties, joint ownership, or affiliations between a project’s regional center and developer create conflicts of interest and should be avoided. It would also be advisable to steer clear of a project if its documents fail to disclose obvious conflicts of interest. On the other hand, investors should look for long-term successful collaborations between independent entities for reduced risk.

EB5AN’s regional centers are completely independent of the developers in charge of our first-rate projects with a 100% USCIS project approval rate to date. With over a decade of experience in the industry, our expert team has helped more than 2,300 families from 60 countries relocate to the United States as lawful permanent residents.

To find out more about how we can help you and your family achieve financial and immigration success through a low-risk EB-5 investment, please book a free call with our team today.

In today’s economic landscape, EB-5 investors must be more careful than ever when selecting projects to invest in.

There are many factors to think of when choosing an EB-5 investment or project as making an EB-5 investment doesn’t fully guarantee that the investor will be approved for a Green Card. One of the factors to think of is whether the project has secured financing or not.

Especially with the rise in interest rates and the real estate market facing challenges, it’s important to choose EB-5 projects that have already secured financing.

This article will delve into the reasons why fully financed projects are the safest for EB-5 investors, and provide guidance on how to identify and evaluate such opportunities.

The Current Economic Climate and Its Impact on EB-5 Investments

The U.S. economy has been on a ride in recent years, with the Federal Reserve taking aggressive steps to fight inflation by raising interest rates. While these measures are intended to stabilize the economy, they also have significant consequences for businesses and investors.

Higher interest rates make borrowing more expensive for real estate developers, who often rely on a combination of equity, EB-5 funds, and loans to finance their projects. As the cost of borrowing increases, some projects may become financially unfeasible, leading to delays, scaling back, or even cancellation.

Moreover, as banks become more careful about lending in the face of economic uncertainty, securing financing for new real estate projects becomes increasingly challenging. Major banks like Wells Fargo, JP Morgan, and Bank of America have already tightened their lending practices or paused new loans altogether.

The Risks of Investing in EB-5 Projects Without Secured Financing

For EB-5 investors, there could be consequences for investing in a project that hasn’t secured financing. If a project is unable to get the necessary loans or raise enough capital, it may fail to create the required number of jobs or even fail altogether. This not only risks the investor’s chances of obtaining a Green Card but also puts their invested capital at risk.

Also, projects that rely heavily on EB-5 funds to fill financing gaps are inherently riskier. If such a project fails to attract the anticipated number of EB-5 investors, it may not have the financial resources to move forward, leaving the investors who have already committed their funds in a precarious position.

How to Identify EB-5 Projects with Secured Financing

To manage these risks, EB-5 investors should focus on projects that have already secured financing from known sources. The best EB-5 projects will have a senior loan from a major bank that is fully funded and in good standing.

A senior loan is the first to be repaid if the project encounters financial difficulties, and banks are known for their due diligence when approving such loans. If a project has secured a senior loan, it’s a strong sign that the bank has confidence in the project’s financial viability and potential for success.

When evaluating EB-5 projects, investors should also consider the ratio of EB-5 funds to other sources of financing. While EB-5 capital can play a valuable role in the financing structure, it shouldn’t be the only source of funding. Projects that are overly dependent on EB-5 investment may be less stable and more vulnerable to market fluctuations.

Assessing the Asset Class and Its Resilience in a Downturn

In addition to evaluating a project’s financing structure, EB-5 investors should also consider the type of real estate being developed. Some asset classes, such as luxury condominiums or hotels, may be more exposed to economic downturns as consumer spending on high-end goods and travel tends to decrease during recessions.

On the other hand, projects focused on multifamily housing, affordable housing, or senior living facilities may be more stable. These asset types cater to basic human needs and often experience stable demand even during economic turbulence.

Conducting Due Diligence and Seeking Professional Guidance

It’s important when selecting a low-risk EB-5 project to do strict due diligence. Investors should ask for detailed information about a project’s financing, including proof of senior loans and their current standing.

If a project sponsor can’t provide clear, written answers to these inquiries, it may be a warning sign that the project is not as secure as it appears.

To make better EB-5 investment decisions, many investors choose to work with experienced EB-5 regional centers. Reputable regional center teams have a track record of identifying projects with solid financials and strong potential for job creation, and guiding investors through the EB-5 process.

Partnering with a trusted regional center can provide an additional layer of security and peace of mind for EB-5 investors, particularly during times of economic uncertainty.

Investing With EB5AN

While the current economic climate may present challenges for EB-5 investors, it’s still possible to find safe investment opportunities that offer a clear path to a Green Card and a brighter future in the United States.

EB-5 investors who take the time to understand the financing structure of potential projects, ask important questions, and seek guidance from experienced professionals will be better equipped to weather economic storms and achieve their immigration and investment goals.

As a leader in the EB-5 investment industry, EB5AN has established itself as a trusted regional center operator. With a proven track record of assisting over 2,300 investors in identifying low-risk projects, EB5AN has demonstrated its commitment to maximizing investors’ chances of achieving their immigration and financial goals.

To learn more about how EB5AN can help you discover the most secure EB-5 investment opportunities tailored to your needs, we invite you to schedule a free consultation with our EB-5 experts.

Foreign nationals looking to secure a better future for themselves and their family may not always be high-net-worth individuals. In fact, you don’t need to have millions in your bank account to obtain your Green Card through the EB-5 program.

However, obtaining your permanent residence through this program is a critical process, so you must understand the requirements and the best route to take.

In this article, we will explain the EB-5 program requirements, and provide you with valid funding options you can use for your investment.

Understanding EB-5 Visa Requirements

The EB-5 Immigrant Investor Program got launched in 1990 by the U.S. government to stimulate the economy while providing foreign nationals with an opportunity to get Green Cards. It offers successful applicants, their spouses, and children under the age of 21 a legal pathway to permanent residence in the U.S.

Below are the main requirements of this program.

Capital Investment Requirement

Capital, as defined by the United States Citizenship and Immigration (USCIS), includes cash as well as any real, personal, or mixed tangible assets that the foreign national owns and controls. This capital will be valued at a fair U.S. dollar market rate.

Under the EB-5 program, a $1,050,000 minimum investment is required. If the investment is made in either a rural location or one with high unemployment rates, collectively known as targeted employment areas (TEAs), this threshold can be lowered to $800,000.

However, this minimum investment does not need to come from a single , and there are ways to finance your EB-5 investment according to your financial goals and capabilities, which we will cover below.

Job Creation Requirement

Establishing full-time job opportunities for American workers lies at the core of the EB-5 visa program. Every EB-5 investment must result in the development of 10 or more full-time jobs for eligible workers.

EB-5 investments in regional center-sponsored projects can include indirect and induced jobs in this job count, which makes it easier to fulfill this requirement.

Source of Funds Requirement

A crucial requirement for EB-5 investors is that their capital must be both traceable and legally sourced. Failing to meet this condition can lead to the denial of an investor’s petition. Therefore, it is essential for investors to understand the legitimate sources of capital they can use for their EB-5 investment.

One of the most common sources for EB-5 investment funds is an investor’s regular income, such as their salary from employment or business profits. While this is a practical way to save for an EB-5 investment, primary earnings often aren’t enough to meet the required amount, leading investors to look for other sources to gather the necessary funds.

How Can You Invest in an EB-5 Visa if You’re Not a Millionaire?

Apart from savings from their main income, investors have other sources to meet the minimum investment requirement for the EB-5 program. EB-5 applicants can combine funds from gifts, inheritance, loans, property sales, and market investments, as long as they can provide the necessary documentation to prove the legal origin of the funds when filing their Form I-526E.

Here are some of the most common ones:

Gifted Funds

Foreign investors can use gifted funds, whether from family members or friends, to fulfill the EB-5 requirements. If an investor is considering this route, they need to have proper documentation of the gift. For one, the donor of the gift has to show that the funds come from a legal source. Additionally, the investor must show that it was a gift and not a loan that they are obligated to pay back.

It is common practice to establish the relationship between the donor and the investor, including when the funds were gifted and bank statements showing the receipt of the funds. USCIS may also require an affidavit attesting to the gifted funds.

Loans

You may get a loan from a bank, a lending organization, a financial institution, or even from close friends or relatives. In essence, any legitimate source may provide the loan. Yet, keep in mind that EB-5 regulations stipulate that the money must be at risk.

One common way for EB-5 investors to get money is through loans backed by their assets. It’s possible to use borrowed money for an EB-5 investment, but it can make proving the legality of the funds tricky.

For instance, if an investor gets a loan from a bank and uses an asset as collateral, they must show they legally own the asset and bought it with legal funds. This process gets even more complicated if the loan is from an individual. In that case, the investor must prove they own the asset and bought it legally, and the lender must show that the money they lent comes from legal sources.

Unsecured loans can also be used for EB-5 investments, provided the source of the funds and supporting evidence are documented.

The loan contract must detail the terms, including the interest rate and repayment deadline. Loan repayments must be traceable and follow market standards.

Inheritance

Applicants are allowed to use inheritance as a source of funds for an EB-5 visa, but only if the inheritance is legitimate and well-documented. When using inheritance as an EB-5 investment, you must submit documentation proving the deceased’s legal acquisition of the funds. This may include bank statements, tax returns, or other financial records.

You must also provide documents proving you received the inheritance, such as wills and/or documents from an estate administrator.

Existing Property

EB-5 investors often use money from selling a property to fund their investment. Whether the property was inherited or bought, they must prove it was legally obtained. If the investor bought the property, they need to show how they got the money to buy it.

This is a great option for investors who bought property years ago and may not have substantial liquid assets right now. They can sell the property at its current market value and use that money for their EB-5 investment.

To do this, the investor must provide all sale and purchase documents, including bank statements showing the money transferred to their account. They also need to include the ownership certificate and tax records to prove the property meets legal requirements.

Partial Investments

USCIS allows applicants to start the EB-5 with a partial investment and commit to investing the rest within a set timeframe.

This option is helpful for investors who don’t have all the funds upfront, giving them time and flexibility to arrange the remaining amount. It lets them secure an early priority date while allowing more time to liquidate their assets at a better rate.

Investors interested in this partial investment option need to find projects and regional centers that offer this flexibility.

Funds You Cannot Use for an EB-5 Visa

USCIS does not permit investment funding from the following sources:

• • Funds earned from illegal activities such as gambling.
  • Loans secured by non-personal assets.
  • Undocumented funds
  • Funds obtained through questionable transactions may raise red flags for money laundering.

  What Is the Accredited Investor Requirement?

  

  An accredited investor is a person who satisfies certain financial requirements established by regulatory organizations such as the Securities and Exchange Commission.

  EB-5 regional center program investors have to meet one of these two requirements:

  • • The investor must own $1 million, whether individually or jointly with a spouse, which does not include the value of their primary residence.
    • The investor must have earned at least $200,000 (or $300,000 when joined with a spouse) per year for the past two years and honestly anticipate continuing to make the same amount of money in the current year.

  With the second option, an investor can still invest in a regional center project by meeting the net annual income requirement, even if their net worth is not $1 million.

  Get Your Green Card With EB5AN

  

  Prospective EB-5 applicants have various options to finance their investment, whether through personal income, property sales, gifts, loans, partial investments, or other routes. However, ensuring all requirements are met can be complex. This is why it’s best to work with industry professionals who can provide guidance and support throughout the process, helping to ensure a smooth and successful EB-5 journey.

  EB5AN has helped more than 2,300 families from 60 countries relocate to the United States as lawful permanent residents. Our expert team has more than a decade of experience, and offers clients first-rate, low-risk EB-5 regional center projects with a 100% USCIS project approval rate to date.

  To find out about the investment options that suit you best, please schedule a free consultation with our team today.

The number of Canadians living in the United States has reached its highest in a decade, according to data from the U.S. Census Bureau. Approximately 797,000 Canadian-born individuals were living in the United States in 2019, according to data from the Migration Policy Institute. By 2021, this number had increased to approximately 885,000. Over 126,000 Canadians immigrated to the U.S. in 2022—a 70% increase from a decade before.

This increase in Canadian migration to the U.S. can be tied to several factors. One of them is the strong American economy, with its active job market and higher salaries, attracting Canadians who seek better career and investment opportunities.

Also, lifestyle preferences and availability of a wider range of amenities, entertainment, and recreational activities in the U.S. have attracted some Canadians. Politics, climate, and the cost of housing are considered to be important factors, too.

Data also shows that the EB-5 Immigrant Investor Program is a popular visa option for Canadian citizens seeking permanent residency in the United States.

In fiscal year (FY) 2023, 124 EB-5 visas were issued to Canadian investors, followed by 17 EB-5 visas issued in FY 2024 so far (through consular processing only). This makes Canada the 14th top country for EB-5 visa issuance so far in FY 2024, without taking into account any adjustment of status data.

In this article, we will explain why the EB-5 visa has become a popular route for Canadians to pursue the U.S. Green Card, and what Canadians who want to get an EB-5 visa should keep in mind.

What Attracts Canadians to the EB-5 Visa?

Established in 1990 with the aim of boosting economic growth, the EB-5 program allows foreign investors and their immediate family members (spouse and unmarried children under 21) to obtain Green Cards through a required minimum investment amount of $800,000 (in a targeted employment area) or $1,050,000 (in other regions) that creates at least 10 full-time jobs for U.S. workers.

The EB-5 visa offers several attractive benefits that make it a good option for Canadians looking to invest in the United States:

Permanent U.S. Residency (Green Card)

The primary attraction of the EB-5 investment visa is the lawful permanent residence (a Green Card) for foreign investors and their immediate family members. This gives them the ability to live, work, and study anywhere in the United States without restrictions.

Fast-Track to U.S. Citizenship

EB-5 investors and their families are eligible to apply for U.S. citizenship after holding a Green Card for five years. This fast pathway to obtain citizenship makes the EB-5 visa unique among other U.S. visas.

Educational Opportunities

The dependent children of EB-5 investors can attend U.S. universities and colleges and pay the same tuition rates as U.S. citizens, which provides access to world-class higher education at more affordable costs.

Business Opportunities

The EB-5 visa allows Canadian investors to freely start or invest in businesses across the United States, opening doors to new markets and investment prospects.

Tax Benefits

After years of strong growth, the Canadian economy has recently slowed down. Similar to other countries, Canada has faced high inflation, which has caused interest rates to rise, leading to slower GDP growth and reduced demand for goods and services.

Americans typically pay lower taxes than Canadians. For instance, in 2021, Canada collected $14,493 per capita in taxes, while the United States collected $11,365 per capita.

Canada’s increasing tax rates are also a cause for concern for its local entrepreneurs and investors.

EB-5 Application Process for Canadians

To qualify for the EB-5 visa, Canadian investors must follow these basic steps:

1. Choose a low-risk EB-5 project and make the required investment in a new commercial enterprise.
2. File Form I-526E, Immigrant Petition by Regional Center Investor, with the United States Citizenship and Immigration Services (USCIS).
3. Upon I-526E approval, apply for conditional permanent residency (Green Card) through consular processing if residing in Canada. If you’re already in the U.S. in valid nonimmigrant status, you may qualify for EB-5 concurrent filing to apply for adjustment of status while submitting I-526E.
4. Approximately 21-24 months after receiving the conditional Green Card, file Form I-829, Petition by Investor to Remove Conditions on Permanent Resident Status, to have the conditions on your Green Card removed and obtain permanent residency.

This is just a basic outline of the entire process, which can vary greatly depending on each investor’s specific circumstances. It is highly recommended to work with an experienced immigration attorney at each step of the process.

The processing times for each step are different, and the overall timeframe can depend on the details of the case. Applicants can check the USCIS processing times page for current estimates. EB-5 investors from Canada can significantly reduce their wait times by investing in rural targeted employment area projects.

Challenges for Canadian EB-5 Investors

While the EB-5 visa offers many benefits, Canadian investors should also know about the potential risks and challenges associated with the program:

Investment Risks

As with any investment, there are inherent financial risks involved in EB-5 projects. Investors must carefully evaluate the viability and potential returns on the investment, as well as the reputation of the EB-5 regional center or project developer.

Immigration Risks

Meeting the EB-5 program requirements does not guarantee the approval of the investor’s Green Card application. Factors such as job creation and source of funds documentation can impact the success of the application.

Fraud Risks

Canadian EB-5 applicants must conduct thorough due diligence to ensure the legitimacy of any EB-5 investment opportunity. If possible, they should review other Canadian investors’ testimonials and speak directly to regional center principals.

Processing Times

While the EB-5 visa application process for Canadian investors is relatively faster compared to many other nationalities, the overall wait time can still take more than a year from the time of investment to getting permanent residency.

The First Step From Canada to the United States

The EB-5 visa remains a popular route for Canadian investors to access new business opportunities and obtain a U.S. Green Card for themselves and their families.

Prospective applicants should stay informed about the latest EB-5 updates to ensure a smooth investment and immigration process. Working with experienced EB-5 professionals can help Canadian investors navigate the program and maximize its benefits.

EB5AN, a top EB-5 firm, has several low-risk EB-5 projects for Canadian investors. These are some of the safest EB-5 projects on the market, with benefits like job creation guarantees, fast I-526E processing, and fully secured funding that doesn’t rely only on EB-5 investment capital.

Canadian nationals interested in the EB-5 program can book a free consultation with EB5AN to see if they qualify and to discuss the details of their specific circumstances.