What types of due diligence can a US attorney offer on an EB-5 project?

An experienced immigration attorney can vet the project and regional center to make sure their performance record, financial structure, exit strategy, job creation methodology, etc., are all in accordance with regulatory requirements of the EB-5 program.

An experienced U.S. attorney, preferably Board Certified by a state bar association with not only significant immigration law experience but experience with representing EB-5 investors, EB-5 Regional Centers and the job-creating entities, would have the experience to review the documents of the Regional Center project in which you may invest from a legal point of view to determine their legal sufficiency. Also, an experienced attorney would have access to information as to the reputation of the Regional Center and the project and can play a critical role in your representation.

An immigration attorney can make sure your I-526 and supporting documents are in order for your EB-5 approval. To get investment advice, you would need to retain someone who can evaluate the merits of the project. There are companies that do this; some good and some not so good. Make sure whoever you hire to do this is in compliance with all securities laws. Immigration attorneys are not allowed to give investment advice.

A good immigration attorney will do due diligence on the immigration side of things; for example, they will want to know how many investors the project is looking for, how many direct and indirect jobs the project expects to create per investor, how many I-526 approval/denials the project has received, etc. If you are looking for due diligence on the rate of return on investment, the probability of success/failure, etc., then you should consider hiring a due diligence analyst or a business/financial advisor.

On this website (www.eb5investors.com), you will find a list of licensed investor brokers/advisors and other firms that provide due diligence service for a nominal fee. There are also others who do not charge a fee for such services because they receive a commission from the regional center when the investor invests with them.

Immigration attorneys should limit their advice and due diligence to immigration issues unless they have some other qualifications. It is best to have a financial advisor give you financial advice and make sure that any advisor is independent of (not receiving commissions or otherwise affiliated with) the regional center or direct EB-5 project developer. Just like any other investment, an EB-5 project will entail the risk that can be mitigated or reduced by good due diligence, but you can never completely eliminate all risk.

A good immigration lawyer can advise on reputable regional centers and most experienced EB-5 counsel work with a team of due diligence professionals that can assess your needs and help you through the process. A good forensic accountant might cost more than any lawyer but might not be able to advise on the best option. Start with an experienced immigration lawyer to be your general manager to guide you through the process.