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What EB-5 source of funds type is the easiest to prove?

I would like to know which investment type for the I-526 petition is the easiest to prove? For example, bank loans or inherited funds or gifts, etc.? Which one causes the least problems when USCIS reviews the application?

Answers

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    James Yang

    Immigration Attorney
    Answered on

    There is not an "easy" way to prove the source of funds because each EB-5 investor's financial background varies. Although certain common approaches can be adopted by many, such at using income and savings, company loans, real estate loans, etc., the most important consideration is for an EB-5 investor to base the explanation of the source of funds on something truthful.

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    Charles Foster

    Immigration Attorney
    Answered on

    Hypothetically, of course, the answer to your question would be that the best would be to show that the funds were earned through one's employment or a real estate transaction where the property was sold greatly in excess of the purchase price in order to cover the required $500,000 investment. In any event, you are required to trace back to the ultimate lawful source of funds. You would also be required to show the source of property or funds sufficient to guarantee the bank loans. Also inherited funds or gifts must be traced back to the ultimate source of lawful funds.

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    Barbara Suri

    Immigration Attorney
    Answered on

    The easiest source of funds to prove is the source easily followed by a good, clear paper trail.

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    John J Downey

    Immigration Attorney
    Answered on

    Probably proceeds from the sale of real estate or an inheritance or anything where there is a clear paper trail.

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    A Olusanjo Omoniyi

    Immigration Attorney
    Answered on

    There is no definitive winner on which EB-5 source of funds is the easiest to prove. The standard for the evaluation of EB-5 investment funds is whether the EB-5 funds at issue come from legal source(s). As long as an investor can document the legal source(s), USCIS will likely grant the application.

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    Michael A Harris

    Immigration Attorney
    Answered on

    The one that may be less complicated, in my opinion, may be accumulated income from salary earned within the last five years. Provided you have payroll records, tax forms (if applicable in your country), and some documentation supporting that a legitimate business paid you. With bank loans, you would have to show what security was given to collateralize the loan, and if that is property, you would have to show how that asset was lawfully acquired with your personal income. The same for inheritance or a gift: you would need to look at the gift giver to prove that they lawfully earned their funds. Aside from salary from lawful employment, the only thing easier may be if someone won a lottery and you can show that the local government paid the earnings! Bottom line, we want to only have to contend with the shortest possible path of income to your personal bank account before you invest.

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    Vaughan de Kirby

    Immigration Attorney
    Answered on

    This is a question that is unique to the facts for each individual investor. An investment immigration attorney will review your financial status and answer this question for you.

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    Shenila A Momin

    Immigration Attorney
    Answered on

    Generally a recent sale of property or salary received in the form of direct deposit(s) from the employer are easier to prove. Personal loans, gifts and inheritance are certainly fine, but you are required to prove how the lender, gifter or parent came into possession of the funds (i.e. original source).

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    Ian E Scott

    Immigration Attorney
    Answered on

    There is no clear-cut answer of which is easier to prove. All could be easy to prove or difficult to prove depending on the facts and circumstances.

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    Jinhee Wilde

    Immigration Attorney
    Answered on

    Income savings and a bank loan based on the collateral you purchased from those income savings would be the easiest to prove. Since a gift amount necessitates that we look into the income and savings of the donor, it could get complicated if there is more than one donor. Also, USCIS has been restricting gifts from non-family.

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    Raymond Lahoud

    Immigration Attorney
    Answered on

    This question is rather broad, in that, it is not necessarily about ease, but about your ability to invest. Why take out a bank loan if you have the money that has been inherited or you can have it gifted?

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    Salvatore Picataggio

    Immigration Attorney
    Answered on

    With enough documentation, and the right immigration attorney, you should be able to authenticate most sources. Secured loans, gifts, sale of property or business, etc., can all be acceptable with the correct preparation.

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