3 ms·

Is there any way to use the existing EB-5 Immigrant Investor visa? http://www.uscis.gov/working-united-states/permanent-workers/employment-based-immigration-fi

by sweis 13y ago

Is there any way to use the existing EB-5 Immigrant Investor visa? http://www.uscis.gov/working-united-states/permanent-workers/employment-based-immigration-fifth-preference-eb-5/eb-5-immigrant-investor http://www.uscis.gov/working-united-states/permanent-workers... As far as I know, to qualify for an EB-5 you need to invest at least US$1M and create 10 jobs within 2 years. It might be a dumb idea, but could investors invest in an entity owned by a foreign founder, who would turn around and repatriate the investment in a US "new commercial entity", and qualify for an EB-5?

bradleyjg 13y ago
I don't think so. From 8 CFR 204.6 Capital means cash, equipment, inventory, other tangible property, cash equivalents and indebtedness secured by assets owned by the alien entrepreneur, provided that the alien entrepreneur is personally and primarily liable and that the assets of the new commercial enterprise upon which the petition is based are not used to secure any of the indebtedness. For that to work, I think the VC would have to unconditionally give the founder the $1M which is obviously not going to happen.
- HistoryInAction 13y ago
  Bradley nails it. I've looked into this in trying to implement startup visa since March 2011. The EB-5 requires the capital to be personally owned, as it's intended for wealthy individuals to invest in a local business, usually a construction subcontractor or Vermont ski resort (EB-5 having been created by law sponsored by VT Senator Patrick Leahy back in 1990). With a prepared lawyer, investors, and founding team, the legal paperwork CAN be set up to make use of an EB-5 (or E-2, at the $50k-150k level) on behalf of a founder, but most founders aren't aware of the hoops they need to jump through or preparation at an early enough stage. And once development has crossed various lines, to 'uncross' them to implement the correctly prepared setup raises other red flags within USCIS.

by sweis 13y ago

bradleyjg 13y ago

I don't think so. From 8 CFR 204.6 Capital means cash, equipment, inventory, other tangible property, cash equivalents and indebtedness secured by assets owned by the alien entrepreneur, provided that the alien entrepreneur is personally and primarily liable and that the assets of the new commercial enterprise upon which the petition is based are not used to secure any of the indebtedness. For that to work, I think the VC would have to unconditionally give the founder the $1M which is obviously not going to happen.

HistoryInAction 13y ago
Bradley nails it. I've looked into this in trying to implement startup visa since March 2011. The EB-5 requires the capital to be personally owned, as it's intended for wealthy individuals to invest in a local business, usually a construction subcontractor or Vermont ski resort (EB-5 having been created by law sponsored by VT Senator Patrick Leahy back in 1990). With a prepared lawyer, investors, and founding team, the legal paperwork CAN be set up to make use of an EB-5 (or E-2, at the $50k-150k level) on behalf of a founder, but most founders aren't aware of the hoops they need to jump through or preparation at an early enough stage. And once development has crossed various lines, to 'uncross' them to implement the correctly prepared setup raises other red flags within USCIS.