Sunday, August 21, 2011

EB5 Program Made Safe

EB5 Program is not news anymore. Many people have heard of it. Usually people mistake EB5 program with EB5 pilot program, which means investing in regional centers. As a matter of fact, investor may invest in a standalone business and create 10 direct jobs to meet the requirements. The standalone business could be:
1) Established after Nov. 29, 1990, or
2) Established on or before Nov. 29, 1990, that is:
A. Purchased and the existing business is restructured or reorganized in such a way that a new commercial enterprise results, or
B. Expanded through the investment so that a 40-percent increase in the net worth or number of employees occurs

The business may take form in
A sole proprietorship
Partnership (whether limited or general)
Holding company
Joint venture
Business trust or other entity, which may be publicly or privately owned

In this sense, EB5 investors don't have to "pay and pray". They can be in control if they want to. Now, isn't it a good news?