UNITED STATES EB-5 PROGRAM

  • Investment: US$500,000 + Syndicate / Fund Charges
  • Financing Option: Not permitted under law
  • Net Worth Requirement: None
  • Physical Residency: Required
  • Citizenship: Physical residency of 2 ½ years out of 5 years

The United States continues to espouse the sentiment and spirit of entrepreneurship in the western world. High standards of living, world class educational institutions and business opportunities continue to make the US one of the top choices for investors and businessmen to set up businesses and create a home for their families.

In line with the entrepreneurial spirit of the US, the EB-5 program requires high net worth individuals and investors to invest US$1,000,000 or US$500,000 (if in a targeted employment area) in a new venture or troubled enterprise. The law also allows for the investor to invest US$500,000 plus syndicate / fund management fee as part of a syndicate. Both options result in Permanent Residency (Green cards) for the family.

The initial Permanent Residency/Green Card issued to the investor is a conditional. To remove the conditionality on their green card the EB-5 investor through syndicate investment must create through their investment 10 full-time equivalent jobs within two years. At the two year mark USCIS (US Immigration) verifies that the requisite10 full-time equivalent jobs have been created.

After obtaining a green card the investor must physically reside in the US for 2.5 years out of a 5 year period to be eligible for citizenship. To maintain your Permanent Residency/Green Card, it is recommended that you spend at least 90 days per year in the US. For most high net worth investors the option of participating in a syndicate/EB-5 fund represents the best option. The syndicate/fund option allows the investor to take the legal status of a ‘limited partner’ in the EB-5 compliant project managed by the syndicate/fund. This removes the need for the investor to be involved in the day-to-day management of their EB-5 investment. In addition, the syndicate/fund takes on the burden of creating the requisite level of EB-5 investment driven employment on behalf of the EB-5 investor.

After obtaining a green card the investor must physically reside in the US for 2.5 years out of a 5 year period to be eligible for citizenship. To maintain your Permanent Residency/Green Card, it is recommended that you spend at least 90 days per year in the US.

For most high net worth investors the option of participating in a syndicate/EB-5 fund represents the best option. The syndicate/fund option allows the investor to take the legal status of a ‘limited partner’ in the EB-5 compliant project managed by the syndicate/fund. This removes the need for the investor to be involved in the day-to-day management of their EB-5 investment. In addition, the syndicate/fund takes on the burden of creating the requisite level of EB-5 investment driven employment on behalf of the EB-5 investor.

 

Salient features of the EB-5 Program via the Syndicate/EB-5 Fund Approach:

  • No English language requirement
  • No age restriction
  • No minimum education requirement
  • No management or business experience requirement
  • Investor and family can live and work anywhere in the United States
  • Children can attend any public school or university for the same cost as US Citizens in their state
  • Eligible to become US citizens after five years (physical residence is required for at least two and a half years and not be absent from US for six months or more at a time)
  • It is recommended that the investor and their family spend at least 90 days a year in the US after obtaining a green card to maintain PR status