What happens if our EB-5 business cannot meet the projected revenue? - EB5Investors.com

What happens if our EB-5 business cannot meet the projected revenue?

We have applied for EB-5 I-526 in September 2018. The actual revenue of our EB-5 business is lower than projected revenue. Is this a problem if we need to submit business financials for the I-526 RFE response, if there is RFE in the future?

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Bernard P Wolfsdorf

Bernard P Wolfsdorf

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The critical element is to show the requisite capital has been invested and the requisite jobs created. Financial projections slay ate not relevant.

Fredrick W Voigtmann

Fredrick W Voigtmann

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While projected versus actual revenue is an important business concept and may indicate the likelihood of success of the business, it is not crucial for I-526 purposes per se to meet your projected revenue target. It is crucial, however, to demonstrate that the business plan is credible and based on verifiable information. It also is crucial that the business itself is viable and that it likely will create the required number of full-time positions for U.S. workers. Therefore, as long as your revenue is sufficient for business survival and job creation, you should be able to answer any RFE issued by USCIS and still get the I-526 petition approved.

Salvatore Picataggio

Salvatore Picataggio

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If job creation is not affected, then it is probably OK.

Lynne Feldman

Lynne Feldman

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The main concern is if the required jobs will be created by the I-829 filing and will be business survive; a downturn is not fatal in itself.

Belma Demirovic Chinchoy

Belma Demirovic Chinchoy

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By itself, a less-than-projected revenue will not cause a denial of an I-526 petition.

Mark AM Catam, Esq

Mark AM Catam, Esq

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The job creation would be more critical than the revenue.

Dale Schwartz

Dale Schwartz

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It is not a problem as long as your the required new 10 full-time employees.

Michele Franchett

Michele Franchett

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It depends. If your investment is in a stand-alone (not a regional center-affiliated) business, there is no requirement in the statute or regulations that the business must meet the revenue targets outlined in the business plan. The requirements are that you make/made the requisite investment, have sustained it, and the investment helped the business create at least ten full-time jobs for U.S. workers.

Stephen Berman

Stephen Berman

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There is no requirement that the business is profitable, only that it creates 10 jobs.

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