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How is job creation by multi-level marketing considered for EB-5 purposes?

I am thinking about founding a business and want to use it as a direct EB-5 investment. I understand that a certain number of jobs must be created in order to meet the requirements of EB-5. I want to structure the company as a multi-level marketing organization and am wondering how this could qualify for EB-5.

Answers

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    Salvatore Picataggio

    Immigration Attorney
    Answered on

    That may be challenging. What is the employer/employee relationship with the marketers? Do they get W-2? 1099? Will those employees be part of your corporate tax returns? I would need to see more, but it's an interesting question!

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    A Olusanjo Omoniyi

    Immigration Attorney
    Answered on

    This idea may work. However, you need to consult an EB-5 attorney to ensure that the planned venture can meet the EB-5 requirements.

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    Fredrick W Voigtmann

    Immigration Attorney
    Answered on

    All of the positions created by the new commercial enterprise (NCE) must be employees, not independent contractors. They must be working full-time (at least 35 hours per week) and not seasonal or intermittent. These positions must be filled by U.S. workers (U.S. citizens, lawful permanent residents or asylees). All employees should receive a W-2 annual form and be on the NCE payroll. Any legal business that can sustain such employment (10 per EB-5 investor) could potentially qualify.

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    BoBi Ahn

    Immigration Attorney
    Answered on

    For EB-5 purposes, at least 10 full-time jobs must be created by the investment per EB-5 investor.

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    Raymond Lahoud

    Immigration Attorney
    Answered on

    You would have to create 10 direct jobs as a result of your investment.

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    Robin J Gray

    Immigration Attorney
    Answered on

    One of the main requirements is that you must create at least 10 jobs that are directly for the business. It would depend on how you would structure the business. Independent contractors as part of your multi-level marketing plan may not qualify as actual job creation. You may want to directly consult with an attorney to discuss your business model and job creation requirements.

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    Bernard P Wolfsdorf

    Immigration Attorney
    Answered on

    For direct jobs you must have full-time 35 hours a week. For indirect jobs via a regional center, one can use expenditure models and calculate job creation based on economic input.

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    Charles Foster

    Immigration Attorney
    Answered on

    You can make a direct EB-5 investment in a multi-level marketing organization as long as you create 10 full-time direct jobs for U.S. citizens. The must be employees who are issued W-2 forms and not contract employees.

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