The EB-5 Immigrant Investor Program offers a direct path to permanent residency (a “Green Card”) in the United States for foreign nationals and their eligible family members who make a significant investment in a U.S. business. To qualify, applicants must meet two primary and rigorous requirements: a substantial capital investment and the creation of jobs for U.S. workers.
The EB-5 Investment Requirement
The cornerstone of the EB-5 program is a significant capital investment in a new commercial enterprise. The required investment amount is determined by the geographic location of the business, specifically whether it is situated in a Targeted Employment Area (TEA).
- $800,000 in a Targeted Employment Area (TEA): A TEA is a rural area or a location that has experienced high unemployment (at least 150% of the national average). The reduced investment amount is designed to encourage economic development in these specific regions.
- $1,050,000 in a Non-TEA: For businesses located outside of a designated TEA, the standard, higher investment amount is required.
Critically, the investment capital must be “at risk,” meaning it is irrevocably committed to the enterprise and subject to potential loss. The funds cannot simply be held in a bank account. Furthermore, it is crucial that the investment funds are lawfully sourced. Applicants must provide detailed documentation to trace the legal origin of their capital, which can come from various sources, including salary, investments, property sales, gifts, or inheritance.
The Job Creation Requirement
The second critical component of the EB-5 program is job creation. The investment must lead to the creation of at least ten full-time jobs for qualified U.S. workers.
What Qualifies as a Full-Time Job?
A full-time job is defined as a position requiring a minimum of 35 hours of work per week. The positions must be filled by U.S. citizens, lawful permanent residents, or other immigrants authorized to work in the United States; the investor and their immediate family do not count. These ten jobs must be created within the two-year period of the investor’s conditional permanent residency.
Direct vs. Indirect Job Creation
The type of jobs that can be counted depends on the investment structure. If investing directly into a new business, the jobs must be direct employees of that company. However, if the investment is made through an EB-5 Regional Center, both direct and indirect (or induced) jobs can be counted. Indirect jobs are those created collaterally or as a result of the capital invested by an EB-5 investor in a commercial enterprise affiliated with a Regional Center. This often provides more flexibility in meeting the requirement.
Key Steps in the EB-5 Process
Beyond the two main pillars of investment and job creation, the process itself involves several key steps. After making the investment, the applicant files Form I-526E, the Immigrant Petition by Regional Center Investor. Once approved, the investor receives conditional permanent residency for two years. Before this two-year period expires, the investor must file Form I-829, Petition by Investor to Remove Conditions on Permanent Resident Status, proving that the investment was sustained and the job creation requirement was met.
Navigating the complexities of the EB-5 program requires careful planning and a thorough understanding of U.S. immigration law. If you are considering the EB-5 path to a Green Card, schedule a consultation with us to discuss your eligibility and develop a strategy for a successful application.
