For a businessperson to raise EB-5 capital for a project, the project must comply fully with all United States Citizenship and Immigration Services (USCIS) and Securities and Exchange Commission (SEC) regulations. Therefore, the first step in securing EB-5 funding is to retain an immigration attorney with EB-5 experience. Immigration attorneys will provide counsel regarding compliance with USCIS guidelines and help assemble a team of professionals that can create a marketable EB-5 project. Once a project is USCIS-compliant and attractive, it can be marketed to potential investors. Foreign migration agents are often used to market EB-5 projects abroad.
EB-5 project developers must develop an effective marketing plan. The marketing approach will depend on the project’s characteristics and the target market; EB-5 investors in different countries have varying expectations regarding a project’s features. Typically, it takes years to create an EB-5 project that complies with USCIS’s many complex regulations, and the marketing process can last for several months.
A compelling and attractive set of marketing materials is essential for an EB-5 project’s success. The materials should encompass various formats. For example, an EB-5 project’s marketing package can include online presentations, videos, a website portal, and printed copy such as brochures. These materials should provide information about the project’s location, capital structure, and job creation projections. A reliable market analysis and some background on the project developer can make a project especially appealing to foreign nationals.
A project’s marketability largely depends on its structure. Foreign nationals generally favor reliable EB-5 projects with minimal financial and immigration risk. If an EB-5 project offers a large job cushion, is located in a targeted employment area (TEA), and uses EB-5 funds as a comparatively small part of its capital structure, foreign nationals are likely to subscribe. It is also preferable for the project developer to possess ample EB-5 experience.