Prospective Foreign Investors have asked many questions. The following is a list of some of the most common questions and answers. Please contact us with further questions.
- What type of people generally participate in this program?
- Where can I live in the US once my green card is issued?
- Do I need to own and run the business in the US?
- Do I need to speak English?
- How long does it take to be granted the initial visa?
- What is the difference between a “conditional” and a “permanent” green card?
- What background information do I need to provide?
- How do I prove the legitimate nature of the source of funds I will invest?
- What is a legitimate source of funds for my investment?
- What are the tax implications of receiving a green card?
- How long must I remain in the US each year?
- What is the difference between being a permanent resident and a US Citizen?
- What are the application procedures and how long does the process take?
- What makes the EB-5 Visa program different from the L-1 (manager transfer) or E-2 (Treaty/Investor)?
What type of people generally participate in this program?
Typical Foreign Investors come from all walks of life. Generally Foreign Investors are well educated foreign professionals and retired people. They include doctors, lawyers, accountants and other business people. Also, college students may be investors.
The reasons for participating in the program vary. The most common reason a person participates in the EB-5 program is to give a better life in the US for their children. Most often they want their children to be educated in a US school.
Foreign investors want to share in the American dream. In addition to educating their children, Foreign Investors are looking for the stability offered by the US. Especially in these troubled times, the US is a beacon of strength in an uncertain world. Many investors want to retire in the US. Others will utilize the excellent health care system in the US. Some want the flexibility to live in their second home or retirement home in the US. Children (under 21) of Foreign Investors also share in the benefits and will receive their own green card. Some investors are looking for stable investment in the United States. There are many reasons why individuals want US residency, and there are many reasons why the EB-5 investor program may be right for them.
Where can I live in the US once my green card is issued?
You can live anywhere in the US once your green card is issued.
Do I need to own and run the business in the US?
You do not need to be the sole owner and operator of a US business to participate in the US EB-5 Regional Center Program. Foreign Investors who participate in the US EB-5 Regional Center Program in conjunction with EB-5 New York State will have an ownership interest in a US business, fulfilling the US EB-5 Regional Center program requirements for participating in that business, but the Foreign Investor's participation will not hinder his or her ability to enjoy the other aspects of residency in the US. It is possible for a Foreign Investor to also own and operate another business in the US that is separate from an investment made in conjunction with EB-5 New York State.
Do I need to speak English?
You do not need to speak English, but we strongly recommend that your participation in the EB-5 visa program be reviewed by professional advisors who do speak English. You do not require any level of education or training.
How long does it take to be granted the initial visa?
The process of granting the initial visa varies. A broad range is 8 to 18 months. The time required generally depends on the amount and clarity of the information provided to EB-5 New York State and included in the Foreign Investor's petition to the USCIS.
What is the difference between a “conditional” and a “permanent” green card?
Following government approval, the Foreign Investor, his or her spouse and children under 21 will obtain a conditional green card. The rights under the conditional green card and the permanent one are the same. The only difference is that the conditional green card lasts two years. The Foreign Investor will apply to have his or her conditional green card converted to a permanent one after approximately two years. At that time, the Foreign Investor must show that his or her funds have been invested, and continue to be “at risk”, and that the required jobs are being created.
What background information do I need to provide?
It is important that undesirable people not be granted a visa pursuant to the EB-5 program. EB-5 New York State and the US government will check your background to insure that you are not a terrorist, a criminal or a similar person who should not be granted a visa. In general, you will be required to provide a detailed biographical background on yourself and your family, and information proving the legitimate sources of the funds you will invest.
How do I prove the legitimate nature of the source of funds I will invest?
In addition to the Foreign Investor's personal background information, he or she must provide information showing that the funds you will invest come from a legitimate source. This financial background information varies widely in individual cases, but generally includes: bank statements tracing funds from you to the investment, five years of tax returns, documentation concerning the actual source (gift, inheritance, bank loan, etc.), proof of ownership in any businesses, and business licenses.
The USCIS will thoroughly investigate the source of funds. This is especially true with the rise in terrorism and money laundering of ill gotten funds. Therefore we encourage all investors to completely and truthfully provide all the required information and to provide more information and not less.
What is a legitimate source of funds for an EB-5 investment?
The Foreign Investor's funds used to make the investment can come from any legitimate source. The following are a few examples of where an investment can be made from:
- Personal savings
- The sale of a business
- The sale of stock or other assets
- The sale of a house or other personal items
- An inheritance
- A gift
- A loan from a bank, a relative or an employer
- Or any other legitimate source of funds.
Regardless of where the funds come from, the Foreign Investor must provide proof that the funds were legitimately acquired. The exact source of funds varies on a case by case basis, and the proof required also varies. Please contact your immigration attorney and/or EB-5 New York State for further information.
What are the tax implications of receiving a green card?
Investors should consult their tax or legal advisors prior to making an investment. In general, the United States requires income tax reporting, by all US residents, based on worldwide income. Most US states also levy an income tax. There are numerous tax treaties regarding avoidance of double taxation, but your advisor can provide you with the information you will require in your specific situation.
How long must I remain in the US each year?
The following is general information. Please consult your immigration attorney for specific information for your case. Within 180 days of being issued the immigrant visa, the individual must enter the United States to commence residence status. Evidence of intent to reside includes opening bank accounts, getting a driver's license and social security number, paying state and federal income taxes and renting or buying a home. The United States resident may work overseas if required based upon the nature of the business or profession. For those permanent residents living outside the US, it is commonly suggested that the Foreign Investor and his or her family not remain outside the US for a period longer than six months. The longer the Foreign Investor and his or her family are present in the US, the less likely the government is to claim that the investor "abandoned" the United States as a permanent residence – thereby endangering the green card status. In some cases, Foreign Investors may seek the issuance of a "reentry permit" which allows the Foreign Investor permission to remain outside the US for as long as two years without having to reenter the country to maintain permanent resident status. Again, this is very general information. Please consult your immigration attorney for advice regarding your specific situation.
What is the difference between being a permanent resident and a US Citizen?
The primary differences between being a permanent resident and a citizen of the United States is that citizens can vote in elections and can hold public office. There are other differences, but we suggest you contact your legal advisor with any specific questions. Generally, one must be a permanent resident for 5 years to be eligible to apply for U.S. citizenship.
What are the application procedures and how long does the process take?
To begin, contact EB-5 New York State. Processing times vary and, at present, you should assume a year to 18 months from the time your visa petition is filed with the USCIS before you receive your conditional green card. As a guide:
Processing of your I-526 petition at the California Processing Center |
8 months |
Processing at the National Visa Center, Washington DC |
3 months |
Awaiting consulate interview |
3 months |
Total processing time to receive entry permit to collect green card |
14 months |
Application for I-829 (removal of conditions) after entering the US |
21 months |
Removal of conditions processing |
8 months |
Total time after emigrating |
29 months |
Total processing time from initial application to removal of conditions: |
43 months |
Five years after entering the USA with a green card, a person may apply for US citizenship, assuming other requirements are satisfied.
What makes the EB-5 Visa program different from the L-1 (manager transfer) or E-2 (Treaty/Investor)?
Participation in the EB-5 Immigrant Investor program gives the Foreign Investor and his or her spouse and children under 21 with permanent resident status (green card). Permanent residency requires no renewal or re-application. Here are differences with other visas:
- The E-2 Treaty Investor programs allow for nonimmigrant status only. When the qualifying business/ investment ends, so does the non-immigrant status that has been granted to the alien. The Alien will have to leave the United States unless another visa category is granted.
- Likewise, the L-1 is a non-immigrant classification. Other U.S. non-immigrant visas, such as E-2 and H may never result in permanent residency, have time limits, and require additional filings with USCIS or Department of State. Furthermore, U.S. immigration laws may change and prevent future approval when a renewal of visa is required.
- Unlike E-2, the L-1 alien can apply for immigrant classification as a Multinational Executive or Manager. If such a case is approved, which is becoming more difficult due to the high number of fraudulent cases and a subsequent tightening of the review process, the alien may apply for Permanent Resident status.