Can an EB-5 investment be in one business with multiple branches? - EB5Investors.com

Can an EB-5 investment be in one business with multiple branches?

I am planning to use my personal assets as security for the loan and I would like to know if I can invest the 500,000 to buy 3 stores, as one store would not create 10 jobs, but I could have 3 or 4 jobs per store for a total of 10 or more. Would it work if I invested in one business that has multiple branches?

Answers

Reza Rahbaran

Reza Rahbaran

Immigration Attorneys
Answered on

It is important to keep in mind that all stores must be located in a TEA in order to qualify for the lower threshold of $500,000. It is vital to draft a competent business plan that shows the creation of a holding company and the purchase of the three stores as subsidiaries. A holding company structure may be utilized provided all EB-5 regulations are satisfied.

Fredrick W Voigtmann

Fredrick W Voigtmann

Immigration Attorneys
Answered on

Yes; there is a way that your investment can be structured to meet the requirements for EB-5. You can make an investment in multiple branches/locations. You should consult with an experienced EB-5 immigration attorney, such as myself, regarding this matter.

Lei Jiang

Lei Jiang

Immigration Attorneys
Answered on

Yes, you can do that, but all the stores should be under one company.

Michael A Harris, Esq

Michael A Harris, Esq

Immigration Attorneys
Answered on

Yes, this is feasible under the new policy put into place by USCIS. To understand how to properly structure this, you need to consult a qualified immigration attorney.

Shahzad Q Qadri

Shahzad Q Qadri

RC Creators
Answered on

It can, and it would be contingent upon how you structure the deal. I would recommend you contact an experienced lawyer to discuss how to proceed.

Philip H Teplen

Philip H Teplen

Immigration Attorneys
Answered on

It would work if you invested in one business that had multiple branches. There may be a better corporate strategy, using a holding company. However, this is better to discuss when you are ready.

Jinhee Wilde

Jinhee Wilde

Immigration Attorneys
Answered on

Yes, but please note that in order to qualify for receiving $500,000 instead of $1 million as required, the businesses must be located in a Targeted Employment Area (TEA). With the multiple locations, you need to make sure that all those branches where you are creating jobs are located in TEAs. If the branches are set up as subsidiary or one company, then you could add the numbers to equal 10, but if you set up those branches with different Tax IDs and as separate entities, then you cannot aggregate them, as USCIS will see each branch as a separate entity and review them separately.

A Olusanjo Omoniyi

A Olusanjo Omoniyi

Immigration Attorneys
Answered on

Yes, this is acceptable, and it should work if the EB-5 application is properly planned and executed. Make sure you put together good, detailed information regarding the business and your willingness to invest the required $500,000 and create a minimum of 10 jobs.

Salvatore Picataggio

Salvatore Picataggio

Immigration Attorneys
Answered on

In a loan model, it could be possible. Your investment would be made into the new commercial enterprise that makes loans to a portfolio of businesses. Based on the loan, you have a proper nexus that allows the jobs created at those three stores to count for your job creation requirement. However, such a structure is best reviewed by an EB-5 attorney for compliance.

Marc Yelnick

Marc Yelnick

Immigration Attorneys
Answered on

Yes, that''s okay. The business in which you invest may have three locations.

Rohit Kapuria

Rohit Kapuria

Immigration Attorneys
Answered on

Depending on the relevant ownership structure and the location of the stores (each store must be in a TEA to qualify for the $500,000 level), this could work. Have you also considered a pooled direct investment? A franchise investment may be an alternative strategy to consider. Either way, you should discuss these issues with an EB-5 attorney.

Ed Beshara

Ed Beshara

Immigration Attorneys
Answered on

In a direct EB-5 structure, you can invest the required $500,000 into one holding company which owns 100% of its subsidiaries. The required investment amount and the job creation can be divided among the subsidiaries and should be invested at the same time.

Kyle Barella

Kyle Barella

Immigration Attorneys
Answered on

Yes, this is allowed, provided you meet all the visa requirements (job creation, etc.).

Bill Travis Klein

Bill Travis Klein

Immigration Attorneys
Answered on

It will depend on the business entity you will be using to create it, as well as location and other factors. Meet with an immigration attorney to review your business plans and other related documents so the attorney can help you with a plan on the best way to move forward.

Olga Karasik

Olga Karasik

Immigration Attorneys
Answered on

Yes, your plan in opening a few branches/stores to create minimum 10 jobs will work. We have done successful EB-5 investments in 2013 in exactly the same scenario. If you have any questions, or wish to schedule a consultation, please do not hesitate to contact us.

Jeffrey E Campion

Jeffrey E Campion

Immigration Attorneys
Answered on

Generally speaking, yes, you may have multiple locations. But, beware that each is owned by the same entity and each of the sites is located in a TEA. That could be an issue.

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