Known as the land of opportunity, America continues to be an aspiration for many across the globe. The EB-5 Visa Programme, also referred to as the EB-5 Immigrant Investor Programme, enables South African nationals to gain lawful permanent residence in the USA by means of an investment of US$800,000 in a commercial venture. Permanent residency in America is acquired through obtaining a Green Card. The Green Card visa is one of the most sought after visas in the world and is now accessible to foreign investors wanting to access American citizenship through the EB-5 programme.
Why the EB-5 Immigrant Investor Programme?
- The EB-5 Visa Programme enables foreign nationals to gain lawful permanent residence in the USA
- Permanent Residency for you and your immediate family; children under 21 (on the day of the application) qualify.
- The right to live, work, study or build a business anywhere in the United States of America.
- Access to the finest educational institutions, medical facilities and social programmes – at the same cost as a United States citizen would pay. State universities are available at in-state tuition fees just as they are for US Citizens.
- The opportunity to become a full United States citizen after only 5 years of permanent residency.
- Full return of US$800,000 invested upon successful completion of the project.
EB-5 Investors
Our partners in this venture, American Dream, whom offer a turnkey service with access to the EB-5 Programme, have recently noticed that South Africans are showing increasing interest in what is the quickest way to obtain your US Green Card. EB-5 Investor Visa is a programme that allows investors to receive green cards through their participation in job-creating American business ventures. American Dream has a long track record of helping investors get approval at every step of the way and even culminating in naturalizing as U.S. citizens. The EB-5 visa category was created to make permanent residency in America available to foreign investors who wish to invest in a U.S. business enterprise that will create jobs.
The minimum investment amount is US$800,000 and at least 10 jobs per investor must be created in order for the investor and his or her family to qualify for permanent residence. EB-5 visas were created to stimulate the U.S. economy by making a new source of funding available to projects that need it. In order to push the projects towards the areas that need them the most, the U.S. government has reduced the investment amount when the projects are located within high rates of unemployment and rural areas. If an investment is made in a project taking place in a “targeted employment area,” a minimum investment of US$800,000 is required. EB-5 investments typically fund new project developments, but they can also be made to save failing businesses.
EB-5 investments are attractive to many people with the means to make to the necessary investment because the investment leads to a GREEN CARD for an investor as well as his or her spouse and children under the age of 21. EB-5 investments also do not require permanent employment with the business in which the investment was made or meeting the difficult requirements of many other employment-based visas. For most investors, the ultimate goal is status as a permanent resident in the U.S. This process is initiated by an investor making a qualifying investment and then filing forms and supporting documents related to the investment project and the investor. American Dream works closely with investors, their representatives, and a team of professional to ensure a successful application.
EB-5 cases can be complicated for both investors and for attorneys who have not handled many of them. There are strict requirements about the investment and the investor that must be met before the visa can be granted. American Dream is very experienced in handling EB-5 cases, and offer a full refund of their legal fees if their client’s petition is not granted.
Making the Investment
The EB-5 process starts with an investor deciding upon a project that suits his or her goals and investment in that project. Investments are most commonly structured as limited partnerships where the investor makes the required investment and receives a share or shares in the partnership.
The investor must deposit the required investment amount either in the project’s operating account or escrow account, where it must be released upon petition approval – the investment must be a real one. One key legal requirement is that an EB-5 investment be considered “at risk.” That means the investment funds must actually be invested in the project and the funds must be available to be used for business purposes upon approval – most EB-5 projects make use of escrow agreement that release the funds to the project upon approval of the investor’s petition. Additionally, this means the investment project must have access to the full investment amount – an investor cannot give only a portion of the required amount (or issue a note that makes a portion payable upon a certain event).
“At risk” also means that the investment capital cannot be guaranteed. If an investment was made into a project which guaranteed the return of the funds, it would not be considered at risk and that petition denied. In any EB-5 investment, there must be the chance of a loss or the possibility of a gain. That is why project selection in EB-5 is so critical for investors – if their investment must be at risk, they would be wise to select an investment project that is as secure as possible.