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What are the legal requirements of becoming an "EB-5 agent"?

I am a realtor in Florida. I mainly work with foreign investors. I know some investors who want to invest in construction-related EB-5 projects and some developers who are looking for investors. I will be able to work as a bridge between these two parties. What legal requirements do I need to fulfill in order to provide services like this? Do I need to be certified by any department or get any kind of license to give immigration/investment advice in the U.S.?

Answers

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    BoBi Ahn

    Immigration Attorney
    Answered on

    This is governed by the SEC regulations. Best to consult an SEC attorney regarding licensing requirement to be a broker/agent in the U.S.

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    Julia Roussinova

    Immigration Attorney
    Answered on

    In order to promote EB-5 projects to investors which is an offer of securities under the US securities law, you will need to be a registered broker-dealer in order to receive commissions. Please consult a US securities lawyer.

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    Ed Beshara

    Immigration Attorney
    Answered on

    Your experienced EB-5 Immigration attorney will be able to advise you. If you are intending to receive finders fees from EB-5 Regional Centers and or its affiliated project, then you need to have a Broker-Dealer license issued by the SEC and FINRA.

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    Charles Foster

    Immigration Attorney
    Answered on

    Given the fact that you are a realtor in Florida and EB-5 interest is deemed to be a security for U.S. security laws purposes, you would have to be a registered broker/dealer.

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    Daniel A Zeft

    Immigration Attorney
    Answered on

    Communications with potential EB-5 investors about investment opportunities in EB-5 projects are subject to securities law. You should consult with a securities attorney who is knowledgeable about EB-5.

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    A Olusanjo Omoniyi

    Immigration Attorney
    Answered on

    Generally, in the US there are no licensing or authorization needed in acting as an EB-5 agent. However, it is advisable that your representation between investors and developers do not appear to become too "immigration/investment advice" in nature. Otherwise, you may unwittingly be engaging in securities which you may not be licensed to perform. The better advice is that you should seek legal counseling on the nature of your activities.

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    Irina Rostova

    Immigration Attorney
    Answered on

    I see this issue all the time in Florida. EB-5 is not a sale of real estate. It is a sale of securities (similar to a sale of stocks or bonds) and therefore falls under the jurisdiction of the Securities Exchange Commission (SEC). You will need to obtain an investment broker license in order to legally collect commission for the introductions.

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    Lynne Feldman

    Immigration Attorney
    Answered on

    You need to check out lots of things SEC rules on giving advice unless you are a licensed broker, state laws on an agency, etc.

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    Fredrick W Voigtmann

    Immigration Attorney
    Answered on

    EB-5 investments have been held to be securities offerings and therefore, are subject to SEC rules regarding broker/dealers and investment transactions. You should be very careful to comply with all SEC rules regarding any referrals and/or transaction-based compensation, which would require a broker-dealer license. You should consult with an experienced SEC attorney on the requirements to be involved in this part of the EB-5 space.

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    Raymond Lahoud

    Immigration Attorney
    Answered on

    Licensing, etc., will depend on how extensive a role you will be taking with respect to potential investors and other relevant parties. For example, if you are soliciting investors, there may be SEC related registration requirements.

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    Vaughan de Kirby

    Immigration Attorney
    Answered on

    An EB-5 investment is viewed by the SEC as a security. Therefore you should contact an SEC Registered Broker-Dealer who may be able to assist you in becoming a Registered Representative. You will need to take two exams Series 82 or 7 and the Series 63. Both very doable! Do not let anyone tell you that there is a way to circumvent this path as it can have serious consequences with the SEC. There are excellent opportunities in EB-5 if pursued correctly and with integrity.

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    Jinhee Wilde

    Immigration Attorney
    Answered on

    Because EB-5 investment deals in securities, you must have an investment brokerage license to advise and sell securities.

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    Belma Chinchoy

    Immigration Attorney
    Answered on

    You can become a licensed and registered broker-dealer.

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