How can an investor increase their involvement in an EB-5 project? - EB5Investors.com

How can an investor increase their involvement in an EB-5 project?

I'm looking to invest with an EB-5 regional center. As of right now, I expect to be busy with my business in my home country, and won't be able to participate in managing the EB-5 project. However, a family member will be taking charge of operations in the next year and I would have time then to contribute to the EB-5 project. Is there a way for an investor to take on a more active management role late into the EB-5 regional center project?

Answers

Ed Beshara

Ed Beshara

Immigration Attorneys Directory
Answered on

Your management role will depend on the EB-5 regional center project. Most EB-5 regional center projects limit the management role of the investors in the new commercial enterprise. If the EB-5 regional center project principals are already personally known to the investors and with their agreement, then there may be an opportunity for an EB-5 investor to be more involved in the management of the EB-5 regional center project.

John J Downey

John J Downey

Immigration Attorneys Directory
Answered on

If you work with a regional center, usually your "active participation" is as a limited partner. It will depend upon the particular regional center you choose as to how much further participation will be allowed.

Salvatore Picataggio

Salvatore Picataggio

Immigration Attorneys Directory
Answered on

Most regional center projects require little involvement from the investor beyond voting on policy matters. When investing, you should discuss any questions or concerns with the regional center representatives or project representatives.

Clem Turner

Clem Turner

Securities Attorneys
Answered on

EB-5 investments are typically passive investments that are managed by a project company (usually referred to as the Job Creating Enterprise). Your investment would usually be aggregated with other EB-5 investors' capital in a "fund" type of company and then loaned or invested into the project company. In this very common structure, very little to none of your time would be required managing the enterprise. If you are looking for a more involved role in your investment, seek out a so-called "direct" EB-5 investment opportunity, as opposed to a "regional center" investment which I described above. Direct deals involve you making a direct investment into the project company. They also have fewer investors, so you can negotiate with the project owners for more managerial input.

Jinhee Wilde

Jinhee Wilde

Immigration Attorneys Directory
Answered on

EB-5 investment through a regional center is difficult to be active in on a day-to-day basis. However, if you are interested in pursuing a business management, you may consider doing your own business aside from the EB-5 investment. This way you do not have to tie the quick success or growth of your business to your immigration benefit/status.

Bernard P Wolfsdorf

Bernard P Wolfsdorf

Immigration Attorneys Directory
Answered on

It can be structured to have you more directly involved. Most regional centers will take you in as a limited partner where you are only involved in policy decisions.

Robert West

Robert West

Immigration Attorneys Directory
Answered on

The quick answer is no. That is the beauty of the regional center. No management like when you do your own $1 million investment. The center projects run themselves.

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