How can a loan be used to make an EB-5 investment?

You can use loaned or gifted funds as part of your personal EB-5 project.

No. A loan secured by the EB-5 PROJECT/BUSINESS is not acceptable. Your loan may be secured by other of your property, but not the EB-5 project.

Because the collateral under the loan structure is the EB-5 business, this will not work for EB-5 purposes and your case will be denied. The loan must be secured by your personal assets owned by you, not the business/project you are investing into.

You may have a problem. Under the statute, you must submit evidence of a loan "which is secured by assets of the Petitioner, other than those of the new commercial enterprise." You should seek the advice of an experienced EB-5 attorney to review the project before you commit your funds.

Usually, a personal asset is used to secure a loan that will be used for an EB-5 investment. The investment funds must be personal funds.

Loan needs to be secured by personal assets.

Your loan must be secured by personal assets, not your interest in the EB-5 company. The documentation to prove source of funds is very particular to each case. You should consult an immigration attorney.

USCIS has recently changed their policy on what kind of "indebtedness" is acceptable. They have issued many Notices of Intent to Deny I-526 petitions when the loan was not secured by the assets the investor owns. Also, the assets of the immigrant investor must not include assets of the company in which the immigrant is investing. In your scenario, because the collateral of the loan you are obtaining is the EB-5 business, this will not acceptable.

A loan secured by the commercial enterprise that is the subject of the EB-5 case WILL NOT BE ALLOWED.