What are the conditions of a co-investment and a joint-venture? - EB5Investors.com

What are the conditions of a co-investment and a joint-venture?

I have a question comprising 2 parts:

1. Can 2 individuals co-invest with 1 million USD each in a project? Will the project need twice the employee hired??

2. Would a joint-venture with a U.S. corporation be allowed?

Many thanks in advance.

Answers

Reza Rahbaran

Reza Rahbaran

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Yes, you may co-invest $1 million USD each, and the project will need to create a minimum of 20 jobs. Every investor who is seeking a green card through EB-5 must create 10 new jobs. You are also able to do a joint-venture with a U.S. corporation as long as your petition meets all EB-5 requirements.

Shahzad Q Qadri

Shahzad Q Qadri

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Yes you can enter in to a joint venture, but you are required to create 10 jobs per investor, so investors will require 20 jobs.

Ying Lu

Ying Lu

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The answers to both of your questions is yes. Every investor who needs a green card needs to create ten new jobs. For example, if one foreign investor and one U.S. Citizen form a new commercial enterprise (NCE), the NCE only needs to create 10 new jobs.

Fredrick W Voigtmann

Fredrick W Voigtmann

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Yes; two investors could invest $500,000 each in a new commercial enterprise (NCE) located in a targeted employment area (TEA). The NCE must create 20 new jobs within two years (10 for each investor). A joint venture could work, if structured properly to make it clear that each investor''s NCE received a qualifying amount of capital and created the required number of jobs.

Jian X Kang

Jian X Kang

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Yes to both questions in part 1. Joint-venture is possible. But careful planning and structuring with the assistance of an experienced immigration attorney will be necessary. If you have any questions or concerns about this matter, please feel free to contact me.

Ed Beshara

Ed Beshara

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Then maybe two foreign national investors committing their personal funds into one direct EB-5 project. If the project is located in a target employment area then each investor may only have to invest US$500,000 of there personal funds. However, each investor will have to show their personal funds invested led to the creation of 10 full-time jobs by U.S. citizens or U.S. residents.

Olga Karasik

Olga Karasik

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Yes, 2 or more foreign investors can invest in the same project for the purpose of EB-5, on condition that each investor meets the requirements of $1M investment and creation of 10 full time jobs (per investor). U.S. corporation can be one of the shareholders in the new business entity, provided that foreign investor holds at least 50% interest. Our office had successfully processed similar EB-5 petitions in the past (with multiple foreign investors and with U.S. corporation being one of the shareholders). If you have any further questions, please do not hesitate to contact our office.

Mahsa Aliaskari

Mahsa Aliaskari

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Multiple investors may pool their funds. Each investor must invest the required amount and there must be 10 jobs created per EB-5 investor.

Jeffrey E Campion

Jeffrey E Campion

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Hello. The issue in the EB5 context is always the amount of the investment made by the individual and the job creation. If each foreign national''s investment that desires to file for the EB-5 classification will produce 10 jobs, then there is no issue. And, "yes," you may joint venture with a U.S. company. Please be careful to ensure that new jobs will be created by the investment.

Rohit Kapuria

Rohit Kapuria

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Not sure what you envision in a co-investment structure. Would both individuals be separately investing $1 million or combined, both investors investments would equal $1 million? The requirement is that each investor''s investment must separately create ten jobs. Depending on the percentage levels of each investor''s investment, if both can separately manage $500,000, then each can qualify to invest in a project that will maintain its principal place of business in a targeted unemployment area (TEA).

Salvatore Picataggio

Salvatore Picataggio

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Approvable I-526 Petitions will have each investor making investments of USD $1 million into a qualifying EB-5 project (or $500,00 if the project is located in a Targeted Employment Area). Furthermore, each investment must, itself, create 10 full-time jobs (direct if a direct EB-5 investment, but indirect and induced jobs can be counted if the project is associated with a Regional Center). Therefore, if each individual can invest $500,000 and create 20 or more jobs (providing this project is in a TEA), then you have an approvable structure. The new commercial enterprise and/or job creating entity could be associated with an existing US company in a number of ways.

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