How can small businesses attract EB-5 investors? - EB5Investors.com

How can small businesses attract EB-5 investors?

I am a medical professional who is interested in setting up a series of small practices throughout the state of Michigan. I only require approximately $5 million to $7 million to establish my project, and I can offer a 4% to 6% annual return on money invested. Is my project too small for the EB-5 program? How should I proceed to attract EB-5 investors? Should I work with a regional center and offer my project?

Answers

BoBi Ahn

BoBi Ahn

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Since the majority of EB-5 investors proceed through regional center managed projects for their EB-5 investment, it may be advisable to either file for regional center designation or rent one so that your project is more appealing to EB-5 investors. The main objective of most of the EB-5 investors is in successfully obtaining lawful permanent resident status. The return on investment is not high on their list.

A Olusanjo Omoniyi

A Olusanjo Omoniyi

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While your idea appears feasible, you need to put together a business plan detailing how you plan to operate the business and fulfill all EB-5 requirements, such as the creation of required jobs, rules governing invested amount, etc. Advisably, prior to setting up your project, talk to an EB-5 attorney who can assist in assembling various constituents of a good EB-5 investment.

Bernard P Wolfsdorf

Bernard P Wolfsdorf

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The critical aspect is to offer a project which is likely to create 10 jobs for each investor, and to provide some level of confidence that investors will be able to get their money back. To achieve this, you may want to reach out to a regional center or an attorney that specializes in structuring EB-5 projects. Thereafter, it is all about marketing and that is tough right now on account of the fact that the minimum investment amount has almost doubled to $900,000 for an investment in a targeted employment area or rural area.

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