EB-5 Regional Center American Immigration Group-NYRC Answers FAQs about the EB-5 Program

by Martin Gray Content Writer

If you have money to invest, the EB-5 may be your chance to obtain Permanent Residency and later citizenship by investing $900,000 in the United States. This Visa can open the way to live in the United States, but the application process is not always easy. To help you, we have created a guide to the most frequently asked questions about the EB-5 Visa with the help of American Immigration Group- NYRC, a Regional Center headquartered in New York.

What is the EB-5 Visa or the investment Visa?

To encourage immigration through the EB-5 program, congress created a pilot program in 1992. After changes in the US congress in Sept 2012 the name has been changed to “Immigrant Investor Program.” The program provides investors with expanded opportunities to demonstrate Job creation. In 1990, under section 203(b)(5) of the Immigration and Nationality Act (INA), 8 U.S.C. § 1153(b)(5) the US congress created the fifth employment-based preference (EB-5) immigrant Visa category. Each year, the provision allots 10,000 immigrant Visas to qualified individuals seeking Permanent Resident status on the basis that their investment in a new commercial enterprise will benefit the US economy.

As of November 2019, an investor seeking an EB-5 immigrant Visa through a designated Regional Center must generally make a qualifying investment of US $1.8 million. Certain high unemployment or target employment areas (TEA) qualify for a lesser investment of $900,000. Additionally, the foreign investor must demonstrate that at least 10 jobs were directly or indirectly created through the investment.

This program was created to contribute to the US economy and create jobs for American Permanent Residents or Citizens. The US has been and continues to be a favorite country for businesspeople, innovators, and professionals to immigrate to, and EB-5 is a direct path and the easiest way to get the American Permanent Residence.

How long does it take to prepare I-526 petition and how long does it take for USCIS to process it?

The time it takes to prepare an I-526 petition depends mainly on the investor being able to show proof for their source of funds to their immigration attorney. We as a Regional Center will have all the documentation the investor needs regarding the project and their investment which will be provided immediately and our average time to review a suitability questionnaire and accept and investor is 2-4 business days.

The processing time for the I-526 petition currently goes from 12-24 months for countries without retrogression and for countries with retrogression will depend on the retrogression timeline.

Can I apply for the EB-5 Visa if I am outside my country of origin?

Yes. The EB-5 investment Visa program ignores your location or address at the time of your application. There are two possibilities. If you are legally in a third country (other than your home nation or the United States), then you can apply through the United States embassy in that country.

If you do not have legal status in that country (because your Visa has expired, for example), then you can apply from that country, but you would have to return to your country for consular processing.

Is my investment guaranteed through the Regional Center program?

According to the EB-5 regulations and requirements, all invested capital must be "at-risk". The risk may be backed by membership interest or collateral in the property, but it cannot be guaranteed.

Who should invest in an EB-5 Regional Center?

EB-5 Regional Center investors are people from all walks of life, including professionals, businesspeople, persons wanting to facilitate a child’s education, and retirees. If your goal is to become a Permanent Resident without actively managing a business, it is often less expensive and more convenient to utilize the Regional Center EB-5 category projects where your investment funds are placed into active projects.

Minimum capital to apply for an EB-5 Visa?

When you invest through a Regional Center, the minimum capital requirement is US$900,000 when you select a project in a rural area or targeted employment area (TEA); for all other projects, the capital requirement is US$1,800,000. American Immigration Group-NYRC (AIG) selects all its projects within TEA designations, to ensure that our immigrant investors receive the best investment opportunities.

Is it possible that all the funds invested are a gift?

Yes. The investment must show documents to prove it as a gift and not as a loan, and that the said gift itself did not come as the result of a loan.

What is the Investors’ involvement in the EB-5 Regional Center?

The EB-5 regulations require your involvement in the EB-5 Regional Center Immigrant Investor Program. The regulations deem a limited partner in a limited partnership that conforms to the Uniform Limited Partnership Act as sufficient engagement in the EB-5 enterprise. However, the Uniform Limited Partnership Act, adopted by most states of the United States, prohibits the limited partner from actively participating in management.

Do I have to live in the location of the project?

No. The EB-5 Visa program allows you to maintain your Permanent Residency by living anywhere in the U.S.

Are EB-5 Visas available to any country?

Legally yes. However, people from countries that do not have reliable tax and other financial documentation will need to be more actively involved in proving the authentication and source of investment funds to process an EB-5 Visa application.

What information or documentation is required from the investor?

Professional Background: You must prepare complete biographical information for each applicant and the principal applicant must prove the source of the investment funds. A résumé with copies of college diplomas and other educational certificates, if applicable, should be included. Any memberships in professional organizations should be documented. Unless the investor inherited the funds, the investor should be presented as a successful professional or businessperson with a business, financial or family history that explains the accumulation of financial net worth that is presented in the financial information. Provide as much documentation as possible that pertains to the career and achievements of the Investor.

Source of Funds: Funds for the investment must come from a lawful source. Lawful sources of funds include profits from the sales of a property, stocks or bonds, profits from business, business transactions, gifts, and inheritances. To prove the source of investment funds, USCIS requires five years of tax returns, five years of bank records, proof of ownership in any businesses, financial statements for each business and business licenses. The idea is to present a track record of an honest course of dealing. If your capital came from a specific transaction, such as sale of a house, inheritance or gift, you must prove the transaction occurred, by providing an official document, such as a closing statement or contract or other official documents. This is not an exhaustive list of documents. Other documents may be required and vary on a case-by-case basis. All documents included in the application must be translated into English in a proper Affidavit format.

Conditional vs unconditional green cards?

Under the regulations, an investor who is approved for the EB-5 immigrant Visa receives a “conditional” green card, which must be reissued after two years, subject to removal of conditions. Otherwise, the two cards offer the same rights and privileges. A conditional Green Card is a temporary Green Card valid for two years. One year and nine months after it is issued, a three-month window opens, during which an individual must file another application with the USCIS to verify that all the funds have been invested and the required employment has been created. When the conditional resident status has been lifted, full resident status is granted, and a permanent Green Card is issued.

How soon do I get my “Green card”?

Upon approval of I-526 Petition:

(a) If you are residing outside the U.S. you must wait for notification from the U.S. Consulate in your home country to prepare documents for the Visa interview. The purpose of this procedure is to ensure that the investor and his or her family undergo medical, police, security and immigration history checks before the conditional Permanent Resident Visas are issued. At the interview, the consulate officer may address these issues and information printed on the I-526 application, including asking the investor to summarize the nature of his or her immigrant investment.

(b) If you are in the United States, then you may apply for adjustment of status by filing form I-485, and supporting documents, the application may be filed at the appropriate office of the USCIS.

What are the processing procedures?

The foreign investor must complete three phases of the application process to become a permanent US resident: Step 1 : To obtain immigrant investor status, the foreign investor must submit a completed Immigrant Petition by Alien Entrepreneur Form (Form I-526) to US Citizenship and Immigration Services (USCIS) along with supporting documentation clearly demonstrating that the investment meets all EB-5 requirements.

Step 2: If the foreign investor is residing within the US and has received Form I-526 approval, he or she may obtain conditional resident status by submitting a completed Application to Register Permanent Residence or Adjust Status (Form I-485) to USCIS. If residing outside the US, the foreign investor must apply for an immigrant Visa at a US Consulate abroad.

Step 3: During the 90-day period prior to the expiration of the conditional period, the investor should file a completed Petition by Entrepreneur to Remove Conditions (Form I-829) to USCIS. In this petition, the foreign investor must demonstrate that the investment was sustained over the two-year conditional period, and the required jobs were created. Upon approval of the I-829 petition, the conditional nature of the green card is lifted, and full Permanent Residence is granted to the investor and the investor’s family members less than 21 years of age.

What is the result of the requested number of full-time jobs not being created?

I-829 will be denied, and Permanent Resident status will be terminated.

When can an EB-5 investor apply for United States citizenship?

There are different requirements that must be met, and your lawyer should advise you. Essentially, you must have been a lawful Permanent Resident for at least five years this includes the two year conditional green card period, be of good moral character, and have not been absent from the United States for more than six months each year, and pass the required citizenship exam.