Getting funding from the EB-5 program requires working with the government, which means the tortoise wins, again!
Author: Hello – My name is Jerry Clark and I will be your author for the EB-5 program series. Over the length of this series my goal is to refresh some and inspire others to seek project funding using the EB-5 program. Doing so will not only help fund your project, it will create jobs within your community and boost economic development where it is needed most.
My journey to Evansville, IN started over thirty years ago. Since then I have worked in television (maintenance engineer), at Mead Johnson Nutritionals (IT programmer, procurement, supplier diversity manager), and as an entrepreneur for the last nine years. I enjoy sourcing (C.P.M. – Certified Purchasing Manager) and project management (training from one of the top PPM leaders in the country).
EB-5 as a Funding Source: Getting funding for business projects come in many forms. Some include loans from banks, family, friends and grants. EB-5 is another funding source that can be used stand-alone or as a mixed financing option.
The EB-5 Program was created by the United States congress through passage of the Immigration and Nationality Act in 1990. The United States Citizenship and Immigration Services set aside 10,000 visas per fiscal year for immigrant investors to obtain citizenship through the EB-5 Program. The EB-5 Program is currently being administered by the United States Citizenship and Immigration Services (“USCIS”), an agency of the Department of Homeland Security ( www.uscis.gov ).
EB-5 was created to make visas available to foreign investors who invest $1,000,000 or $500,000 (if project is located within a Targeted Employment Area – TEA), and in a U.S. business that creates 10 full time jobs per investor. EB-5 investors that invest through designated Regional Centers (e.g. SAA Cedisus EB-5 Projects) are permitted to count jobs created both directly and indirectly by the qualifying investment.
The EB-5 Program is one of the fastest ways to become a United States Citizen as individuals may be able to obtain full U.S. citizenship within approximately 5 years. Immigrant investors do not need to live or work anywhere near the site of the investment. The individual is free to live and work anywhere they choose in the United States.
It is worth noting that throughout the series the word “Developer” will mean any party receiving funds from foreign investors.
In some cases a project developer may want to attract investors into their community to increase talent (and retention), in addition to acquiring investor funds. A good example would be the “Regional Cities Initiative” here in Indiana. Whether talent and retention are important to you or not, EB-5 remains a viable capital resource when working with a team that can help you succeed.
Part 2. Developers Benefit Most going through a Regional Center
Part 3. Investor Benefits and Project Attraction
Part 4. How to work with SAA Cedisus EB-5 Projects