Attorney at Law

Schedule an Initial Consultation
Main Menu

Experienced, Dedicated And Committed To You

Located in the Miami metropolitan area, Santiago J. Padilla, P.A., offers comprehensive services for business clients with a variety of needs.

Pooled Investments and Multiple Businesses are Allowed under EB-5 Program

By: Santiago J. Padilla, Esq.

Under the EB-5 Program, it is widely known that an investor and his immediate family may obtain a permanent residency or a "Green Card" by investing $1 million (or $500,000 if the business is located in a high unemployment area) in his or her own business and creates the requisite number of jobs within two years of the adjudication of the EB-5 Petition.

A little know aspect of this program is that under the Direct Investment EB-5 Program, the investments of several investors can be "pooled". This means that one business can be used as the basis for the petition of more than one immigrant investor. Each immigrant investor must invest the required amount of capital and each immigrant investor's investment must result in the required number of jobs. In addition, this also means that the business can have owners who are not seeking to enter the EB-5 Program, provided that the source(s) of all capital invested is (or are) identified and all invested capital has been derived by lawful means. Therefore, in the example used above, so long as the immigrant investor manages the business, others can also invest in the business, regardless of whether they are seeking to obtain a visa.

Another unique aspect of the EB-5 Direct Investment Program is that an investor may invest the required capital in multiple businesses. In fact, an immigrant investor may diversify his or her total EB-5 investment across a portfolio of businesses or projects, so long as the minimum investment amount is placed in a single commercial enterprise. However, the important aspect is that the capital be deployed through a single commercial enterprise and all jobs are created directly within that commercial enterprise or through the portfolio of businesses that received the EB-5 capital through that commercial enterprise. For example, if the investor invests $1,000,000 in a commercial enterprise and that company thereafter deploys $600,000 of the investment toward one business that it wholly owns, and $400,000 of the investment toward another business that it wholly owns. In this case, the two wholly-owned businesses would have to create an aggregate of ten new jobs between them. Yet, it should be noted that an investor cannot qualify, on the other hand, by investing $600,000 in one commercial enterprise and $400,000 in a separate commercial enterprise.

* * * * *

If you have any questions regarding investor visas, the EB-5 Program, or any other immigration law issues, please do not hesitate to contact me, Santiago J. Padilla, Esq., either at 800-483-7197800-483-7197 FREE or by sending an email to [email protected].

No Comments

Leave a comment
Comment Information