How do EB-5 investors manage direct EB-5 projects? - EB5Investors.com

How do EB-5 investors manage direct EB-5 projects?

As an investor in a direct EB-5 project, how will I manage the business operations of my project? Is it necessary for me to be physically present at the business or can manage I remotely? How long will I be required to do this?

Answers

Ed Beshara

Ed Beshara

Immigration Attorneys
Answered on

Until you receive the conditional permanent residency visa, you cannot manage the EB-5 Business. Other U.S. citizens or permanent residents can mange your U.S. business until you receive your conditional permanent residency status.

Fredrick W Voigtmann

Fredrick W Voigtmann

Immigration Attorneys
Answered on

There are no specific rules about whether you must be physically present at the business location or how much time you must spend in the business. It is your burden to prove that it is more likely than not that you will be involved with the management of the business. As long as you can prove that, you probably do not need to be present at the business location on a day-to-day basis, particularly if you hire someone to manage the business for you and you manage that person and review the financial records for the business, setting goals, policies, objectives, etc.

Julia Roussinova

Julia Roussinova

Immigration Attorneys
Answered on

You can either be actively engaged in the day-to-day management of the business or have policy formulation role.

A Olusanjo Omoniyi

A Olusanjo Omoniyi

Immigration Attorneys
Answered on

As a direct investment, the owner-investor is supposed to operate and manage the business on a day-to-day basis. Advisably, consult an EB5 immigration attorney on how to address the residency requirement issue associated with direct investment.

BoBi Ahn

BoBi Ahn

Immigration Attorneys
Answered on

You cannot operate the business directly or work and draw salary from the invested business, unless you have a temporary/nonimmigrant visa (i.e., E-2 treaty investor, etc.) which allows you to do so while you are waiting for the permanent residence through the EB-5; however, you can hire managers to run the business and also remotely manage if need be from outside the U.S.

Barbara Suri

Barbara Suri

Immigration Attorneys
Answered on

Your conditional EB-5 authorization will allow you to be physically present and work in the U.S.

Charles Foster

Charles Foster

Immigration Attorneys
Answered on

An EB-5 investor in a direct EB-5 project is required to have a managerial position, but that does not require you to be physically present in the business at all times. As long as you have an appropriate managerial position within the ownership structure, you could perform your management duties without being physically present. You should be able to occupy that position as long as possible and until you file the Petition to Remove Conditional Status on Form I-829B.

Bernard P Wolfsdorf

Bernard P Wolfsdorf

Immigration Attorneys
Answered on

If you are from one of the 80 countries that have E-2 treaty investment agreements with the U.S., it is best to get an E-2. If not, you can try and enter with a business visitor visa to set up, but not work in the business. You can hire staff but not work, so if you do not have an E-2 or another kind of work visa, you have to appoint a manager. This is why over 90% of investors choose direct EB-5 as opposed to the Regional Center EB-5 program.

Michael A Harris, Esq

Michael A Harris, Esq

Immigration Attorneys
Answered on

An investor in a direct EB-5 project is not required to oversee day-to-day business operations. One of the misunderstandings about EB-5 is that a direct EB-5 project company can be organized similarly to a regional center project. Regional centers, as you may know, benefit from the ability to use indirect job creation while direct projects must create full-time jobs. But a direct EB-5 project can also utilize a pooled-investment corporate partnership just like a regional center project. Hence, if the company for a direct EB-5 project is an LLC or LP, and there is a manager or general partner other than the EB-5 investor, then it may qualify. Before you undertake any activities, I recommend you speak with an EB-5 immigration lawyer.

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