+1-800-997-1228
Questions & Answers

How can an investor make an existing business qualify for EB-5?

Almost two years ago I bought a small business for over $500,000 that was losing a lot of money. Since then I have transformed the business and I am trying to expand its operations. I am also trying to bring my son on-board as an executive before a couple of prospective expansion projects. I am interested in knowing how I can now qualify under the EB-5 visa program using this existing business? How can I also have my son qualify for an EB-5 visa?

Answers

  • Avatar

    Ed Beshara

    Immigration Attorney
    Answered on

    An experienced EB-5 attorney will be able to advise you. As long as the personal investment created ten new full-time jobs by U.S citizens or permanent residents. You will also have to prove the authentication of the lawful source of your investment funds. If you file your I-526 petition before your son turns 21 years old, your son will be able to obtain U.S. residency.

  • Avatar

    John J Downey

    Immigration Attorney
    Answered on

    If your son is under 21 and unmarried he would qualify under your application. If not, I might try to bring him in under the L-1 visa category. As long as your business was established after Nov. 29, 1990, it will count as a new business. If the business was losing money you might qualify as a "troubled business" under the statute. This would ease the job creation portion. You will need an accountant to help with that.

  • Avatar

    Fredrick W Voigtmann

    Immigration Attorney
    Answered on

    As long as the business was formed after 11/26/1990, it will be considered a New Commercial Enterprise (NCE). Since you invested $500,000, you must prove that the NCE is principally doing business in a Targeted Employment Area (TEA). You also will have to show that your lawfully obtained capital is at risk in the NCE and that the NCE will create 10 new full-time jobs for U.S. workers. If you wish to count existing jobs with the NCE, you must show that it qualifies as a "troubled business," which means that it incurred a net loss (or losses) equal to or greater than 20 percent of its net worth during the last 12 months or 24 months. Then, you must show that you can maintain at least 10 full-time jobs for the conditional period of your lawful permanent residence. If you wish to have your son also qualify, the requirement would be an additional qualifying investment and new job creation by the NCE of 10 full-time jobs or maintaining 10 additional jobs if the NCE qualifies as a troubled business.

  • Avatar

    Salvatore Picataggio

    Immigration Attorney
    Answered on

    Transforming the business is indeed one of the requirements for an existing business, as well as increased job creation. Please consult with an EB-5 immigration attorney to make sure you are preparing an approvable business and investor petition.

  • Avatar

    Olga Karasik

    Immigration Attorney
    Answered on

    Your business purchase can qualify for EB-5 if the business lost 20 percent of the revenue or 20 percent of its assets value in the year preceding the acquisition, and you preserve or added 10 permanent full-time jobs. Your son cannot qualify for EB-5 unless he invested his own required funds. He might be able to qualify for another work visa.

Add your comment

Use a Facebook account to add a comment, subject to Facebook's Terms of Service and Privacy Policy. Your Facebook name, photo & other personal information you make public on Facebook will appear with your comment.