I am considering expanding my existing online clothing brand by opening a brick-and-mortar store in Los Angeles. If I invest $1 million in the purchase of the retail space and product stock, can I apply for EB-5? I will be able to create 10 jobs for my store and warehouse. My concern is that, since I have been operating the online store under the same brand name for several years, and the brick-and-mortar store will sell similar products as its online counterpart, this investment might not be deemed as significantly different from the existing one, thus not qualifying me for an EB-5 direct investment. Please advise.
Answers
Julia Roussinova
Immigration AttorneysYou should discuss the most viable corporate structure for the new store with an experienced EB-5 immigration attorney. It may be a good idea to set it up as a separate new commercial enterprise, which will create the minimum 10 full-time positions. A five-year, comprehensive EB-5-compliant plan will be necessary to accompany your I-526 petition. A new commercial enterprise may qualify for a $500,000 EB-5 investment threshold if it principally does business in TEA.
Dale Schwartz
Immigration AttorneysIf you are in Los Angeles County, you might be able to apply for an EB-5 green card with only a $500,000 investment (if you apply before Congress raises the minimum investment to over $1 million, which they will probably do before too long). The brick-and-mortar store and warehouse should qualify as a "new commercial enterprise."
Bernard P Wolfsdorf
Immigration AttorneysYou should still be able to show this is a new commercial enterprise and that you have created new jobs. It may be better to set up a new corporate entity and to invest the requisite amount in the new entity. You may want to keep the old business separate, if possible.
BoBi Ahn
Immigration AttorneysYou should be able to invest in expanding your business to process for EB-5, as long as you meet the other requirements (including creating the requisite 10 full-time jobs, lawful source of funds, etc.).
Charles Foster
Immigration AttorneysIf you invest $1 million to expand your online business resulting in the creation of 10 jobs, such an investment could qualify as a direct EB-5 investment. You can use the funds to expand an existing business.
Marko Issever
EB-5 Broker DealersI think your chances are actually very good to be able to do this. First of all, you plan to expand the business from online to brick-and-mortar. That is very significant. You are willing to invest $1 million, which means that you don't need TEA classification. You are committed to hire at least 10 new people aside from yourself, which is the requirement. You need a strong EB-5-complaint business plan. Work with competent attorneys. I think this is actually very realistic.
Mark AM Catam, Esq
Immigration AttorneysThis could be a viable EB-5 business, depending on how it is structured.
Salvatore Picataggio
Immigration AttorneysI'd imagine that going from online to brick and mortar could be enough. The classic example of "not enough" is a hotel changing brands, updating the paint and carpeting, and calling it a day. This seems like enough but I'd be interested in looking into it further.
Vaughan de Kirby
Immigration AttorneysMy thought is to form a new business entity that will encompass your brick-and-mortar store. Your first step is to get help drafting a USCIS-compliant business plan. I would recommend you consult with a qualified investment immigration attorney, as they will be in a good position to properly advise you.
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