What are the accredited investor requirements for EB-5?

To qualify as an investor, it is required that the investor have a net worth of $1 million USD, or an individual income greater than $200,000 for the previous 2 years and forthcoming year, or a joint spousal income of more than $300,000. There is no requirement to have prior business experience. Many EB-5 investors funds do not come from business income and may in fact be gifted funds. As long as the funds are obtained by legal means, it can be used toward your EB-5 investment.

You have to either have the net worth alone or jointly with a spouse of at least $1M or income individually $200,000 or jointly with a spouse $300,000 for the past two years and expect the same level of income for the current year. It is not necessary to have any prior business experience as investment funds may come from different legal sources. This is required for the U.S. securities laws purposes rather than for immigration laws purposes. USCIS does not make a determination of whether you are an accredited investor.

Whether you directly invest your personal funds from your own sources or whether you received a gift, you need to be a qualified investor.

There are no accredited investor requirements for EB-5 from an immigration perspective, although there are other requirements. The accredited investor requirements stem from securities laws because sales of securities made to accredited investors may be treated differently than sales of securities made to unaccredited investors.

You do not have to have business experience, but you need to show that you have the money required for an EB5 investment and you obtained the investment money legally and can show that you obtain it legally.

According to the Security Law, an investor who meets the net worth requirements for an accredited investor under the Securities & Exchange Commission''s Regulation D is accredited investor. A non-accredited individual investor is one who has a net worth of less than $1 million (including spouse) and who earned less than $200,000 annually ($300,000 with spouse) in the last two years. You do not need business experience, but it certainly helps.

You just have to demonstrate you obtained the money legally, i.e. gift, inheritance, sale of a business, sale of a residence or any other lawful way.

The term "accredited investor" is defined in Rule 501(a) under the U.S. Securities Act of 1933. Even if you are residing outside the U.S., you need to document sufficient funds to show you can support yourself and/or your family after immigration. Generally, an EB5 immigrant must be involved in the management of the business to qualify for the visa. Absent business experience, investment through a Regional Center may be a better option, as the investor is not required to perform any executive duties there.