How can an EB-5 regional center provide different offers to EB-5 investors in the same NCE? - EB5Investors.com

How can an EB-5 regional center provide different offers to EB-5 investors in the same NCE?

Is it true that EB-5 regional centers have to offer the same percentage of return to each member in a new commercial enterprise? Can a general partner offer a management fee waiver to some members to provide additional interest?

Answers

Bernard P Wolfsdorf

Bernard P Wolfsdorf

Immigration Attorneys
Answered on

Generally speaking, the offer must be as stated in the private placement memorandum so it is a securities compliance question as the private placement memorandum must be factual. Management fees may be over and above the investment threshold so they may be discretionary.

A Olusanjo Omoniyi

A Olusanjo Omoniyi

Immigration Attorneys
Answered on

Yes, it can happen. The possibility of ending with different management fees depends on the negotiations of the parties.

Salvatore Picataggio

Salvatore Picataggio

Immigration Attorneys
Answered on

Each investor files their own application, so something like a management fee or administration fee, which is separate from the required investment, can vary from investor to investor.

Lynne Feldman

Lynne Feldman

Immigration Attorneys
Answered on

I know of no rule against this.

Ed Beshara

Ed Beshara

Immigration Attorneys
Answered on

All investors in the NCE should receive the same interest and rate of return.

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