How direct EB-5 investments help the U.S. economy (in ways that regional center investments do not)
As a registered securities broker, I know disclosures, so let me make one off the start. I’ve been selling EB-5 regional center investments since 2013. But now, with the expiry of the Regional Center Program, my new experience with direct investments has led to a realization:Direct investments — especially those made into growth-stage businesses — are, I now firmly believe, a better representation of Congress’ intent when it first created the EB-5 program decades ago.What exactly is that mandate? USCIS tells us, “Congress created the EB-5 Program in 1990 to stimulate the U.S. economy through job creation and capital investment by foreign investors.”Further, USCIS describes the two fundamental criteria of EB-5 as follows:“Make the necessary investment in a commercial enterprise in the United States; andPlan to create or preserve 10 permanent full-time jobs for qualified U.S. workers.”Using my own experience, as well as the insight of two prominent EB-5 securities attorneys, and the perspectives of business principals seeking the capital of EB-5 investors, let’s look at the ways direct investments fulfil the Congressional mandate and offer advantages in ways regional center investments do not.