With the virtual plethora of online articles about the USCIS EB-5 investor visa program, you might think that we all know everything there is to know about EB-5. But we don’t. Here are a few interesting facts that you may not know about EB-5.
- Of the 10,000 visas allocated to EB-5 investors, only 3,000 are available for indirect Regional Center investors and their families. The remaining 7,000 are reserved for direct investors and their families.
- Direct investments may be pooled. The model for pooling of direct investments is nearly identical to that of indirect investments. The investments may be pooled into a new commercial enterprise (NCE) that loans funds to the job creation enterprise (JCE). The only difference is that in the direct investor model there must be “sufficient nexus” between the NCE and the JCE.
- Direct investments in an NCE may be distributed to multiple JCEs, if they are structured as wholly-owned subsidiaries of the umbrella JCE.
BONUS: In the third scenario, if the JCE has multiple JCE subsidiaries, direct investors may have less concern about job creation. If one of the subsidiary JCEs falls short of the job creation goal of 10 per investor, “excess” jobs created by other subsidiary JCEs may count toward individual investor job creation requirements.
These facts may be little known, but knowing them can make a big difference for EB-5 investors.
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