What are the risks of the EB-5 program?

You need to be able to invest anywhere between $500,000 to $1 million. The primary risk you face is that if your business fails before you are able to obtain a permanent green card, you will not be able to maintain your residence in the United States, and will have to leave.

To be able to migrate to the United States with the EB-5 visa, and pursue your business interest in the United States, you must meet all the requirements of EB-5, just like any applicant. The basic requirements are: 1) you must invest a minimum of $500,000 if investing in rural area, or $1 million if investing in urban/city area; 2) the source(s) of your investment funds must be lawful, and 3) the investment must create a minimum of 10 jobs for U.S. workers (citizens and permanent residents only). The main risk (which some people may interpret as drawback) of the EB-5 visa program is that all investments are at risk, meaning an investor may lose the investment. Advisably, consult an EB-5 immigration attorney to weigh the pros and cons of the program and bear in mind, many people are beneficiaries of EB-visas.

The risks are that you lose your money and do not obtain your permanent green card. Consulting with a qualified and experienced EB-5 immigration attorney will help you to reduce and manage, but not entirely eliminate, that risk. The EB-5 program requires an at risk investment, so the risks are the same as with any other business investment. The capital investment is subject to both gain and loss.

As a fellow Australian and EB-5 attorney, our law office has the expertise and experience to assist you in achieving your migration and EB-5 goals. We would recommend a consultation, and we would then offer approvable solutions. We would analyze your current business activities and determine how they can be applied in a U.S. immigration context. With the right advise and direction, your risk can be minimized. We also have substantial experience in assisting Australians migrate to the United States, and also have significant experience in the bakery sector, both in Australia and the United States.

Your investment mist be "at risk." That is, you cannot arrange for a guaranteed return of your investment funds. There is also the risk that the jobs will not be created to support your petition. Also, I-526 petitions with USCIS are taking a very long time to process (12 months or more in some cases). As with all immigration processes, it will be a fact-specific determination, and no guarantees can be made as to the success of your process, but by retaining experienced EB-5 counsel, some risks can be mitigated.

There are primarily quantitative criteria, little is subjective, for visa issuance, so not much visa risk there. There is, of course, an investment risk/loss of some or all of your capital.

The risks of the EB-5 program include the inability of the investment vehicle to deliver the promised jobs, or to be financially viable. Remember, your investment must be "at risk," meaning there are no ironclad guarantees. Other visas possibly available to you are the L-1 and E-3 business and specialty worker visas and the E-2 investor visa. These are non- immigrant visas, but they can be a foundation for a possible green card in the future. All of that being said, if you would like to invest at least $500,000 in an approved investment program, I can give you legal advice.

The risks of an EB-5 investment are similar to that of any investment you risk losing your entire invested capital. Additionally, you risk your immigration status if, for example, the job requirements are not met, or you knowingly omitted an important piece of information from your application. With the right EB-5 counsel and investment advisor to guide you through the investment process, you can mitigate unnecessary errors.