+1-800-997-1228
Questions & Answers

How can buying multiple franchises satisfy creating 10 jobs under the EB-5 investment requirements?

I am applying for an EB-5 visa and looking to buy a franchise currently running. However, the business only employs three or four workers. How can I satisfy the requirements of the EB-5 visa process? May I start more franchises to satisfy the requirement of 10 created jobs?

Answers

  • Avatar

    Ed Beshara

    Immigration Attorney
    Answered on

    The investor can invest the required funds into a holding company which 100 percent owns various franchise subsidiaries which operate the franchise locations. The personal investment funds can be used by the various subsidiary locations and the required jobs can occur in the various locations.

  • Avatar

    Julia Roussinova

    Immigration Attorney
    Answered on

    A franchise that is currently running will not qualify to create new employment for EB-5 purposes unless you create at least 10 full-time permanent jobs within that franchise (at least 35 hours a week) or unless this is a troubled business and you maintain at least 10 jobs for the two-year conditional period of your conditional permanent resident status. You may invest in a new commercial enterprise that wholly owns subsidiaries. Please consult an experienced EB-5 immigration attorney to discuss the specifics and properly structure the transaction.

  • Avatar

    Lynne Feldman

    Immigration Attorney
    Answered on

    This could work, but we would need more details to assess. Are you trying to qualify for the $500,000 or $1 million investment?

  • Avatar

    Salvatore Picataggio

    Immigration Attorney
    Answered on

    You may be able to create a portfolio of businesses to satisfy the job creation requirement, but the structure should be reviewed by a qualified EB-5 attorney.

  • Avatar

    Karen-Lee Pollak

    Immigration Attorney
    Answered on

    You can start more franchises. You can possibly set up one company that will employ 10 people and that is where you would invest your money. Then you could hire the employees out to the various franchises which would be owned by the holding company. You will need to discuss this in greater detail with an experienced attorney.

  • Avatar

    Fredrick W Voigtmann

    Immigration Attorney
    Answered on

    Yes. If you have one new commercial enterprise that wholly owns two or more other entities/franchises, you can combine the employment creation between all entities. You should consult with an experienced EB-5 immigration attorney to advise you on the specific requirements, and how to structure your investment so that all the EB-5 requirements are met. Also, please note that buying a franchise that is currently running does not create any new employment and will not qualify unless you add ten new full-time jobs or unless the business qualifies as a troubled business and you maintain the pre-investment level of employment (at least ten jobs) for the two-year conditional period.

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.