What are considered EB-5 new commercial enterprises?
Are there any restrictions on the types of businesses that are considered EB-5 new commercial enterprises?
The EB-5 Program requires foreign investors to invest capital into a qualified EB-5 new commercial enterprise in the United States. How does that work?
The foreign investor may qualify by investing in a "new commercial enterprise" that does any one of the following:
- To create a new business
- To expand an existing business
- To purchase an already existing business
- To save a failing business
In additional, the investment must have been made after November 29, 1990, and the investor must actively manage the investment. While the investor can invest in a Regional Center project and avoid day-to-day management of their investment, they cannot passively invest in a real estate project that is used as a personal residency.The EB-5 Program also requires the investment to create at least 10 full-time jobs for qualified U.S. workers. These workers must be employees of the new commercial enterprise. The requisite number of jobs must be created within the two-year period of time following the investor's approval for conditional permanent residency.
For more information about new commercial enterprises, send us a message.