Buying a Green Card: EB-5 Investor Visa (Ⅱ)
The New Commercial
There are two basic requirements for showing a new commercial enterprise. First, the enterprise must be new, i.e., formed after November 29, 1990. Second, it must be a commercial enterprise. Any for-profit entity formed for the ongoing conduct of lawful business may serve as a commercial enterprise. This includes sole proprietorships, partnerships (whether limited or general), holding companies, joint ventures, corporations, business trusts, or other entities publicly or privately owned. However, the term new commercial enterprise does not include noncommercial activity, such as owning and operating a personal residence or nonprofit enterprise.
1. Creating an Original Business: In 2002 Congress eliminated the establishment requirement for EB-5 investors. Instead of proving that they have established a commercial enterprise themselves, investors now need only show that they have invested in a commercial enterprise.
2. Buying an Existing Business: By reorganizing or restructuring an existing business, an investor may create a new commercial enterprise and therefore qualify for a visa. The statute and regulations provide little insight into what degree of restructuring or reorganization must be done to establish a new enterprise. The AAO has held that simply changing the legal form of the enterprise does not satisfy this requirement. Regardless of the forms used to create a new enterprise, the focus of the law is on the creation of at least 10 new employment opportunities. Investments creating a new enterprise but failing to create 10 new jobs will also fail to qualify for EB-5 classification.
3. Expanding an Existing Business:
Source:Visapro