EB-5 Foreign Investor Program

The EB-5 Foreign Investor Program is a program that offers foreign investors the opportunity to establish a business or make investments in the United States. This program provides investors with the possibility of obtaining permanent residency and even US citizenship, provided they meet a certain investment amount and fulfill certain requirements. In this blog post, we will discuss the required investment amounts to apply for the EB-5 Program, the requirements for a startup established under the EB-5 Program, the right of family members to apply under the EB-5 Program, and other related topics. We will also examine the sectors supported by regional investors and the legal procedures in the EB-5 Program.

Investment Amounts Required to Apply to the EB-5 Foreign Investor Program

For those wishing to apply to the EB-5 Foreign Investor Program, the required investment amounts are a crucial consideration. This program offers foreign investors the opportunity to invest in the United States and obtain permanent residency. However, meeting the minimum investment requirements is necessary for application.

The program offers two different investment options. The first option involves investments in employment-focused areas called Targeted Employment Areas (TEAs). The investment amount for these areas is set at $900,000. TEA areas are economically underdeveloped regions or areas with high unemployment rates.

Another option is Non-TEA (Non-TEA Areas). The investment amount in these areas is $1,800,000. Non-TEA areas are more developed and have lower unemployment rates compared to TEA areas. They typically include large cities or tourist areas.

Type of Investment	Minimum Investment Amount
TEA Regions	$900,000
Non-TEA Regions	$1,800,000

Investors must meet the required investment amount according to the type of investment they are applying for and their preferred region. These investments are intended to make positive contributions to the US economy and create jobs. The nature and size of the business in which the investment will be made are also among the factors considered in the application.

Requirements for a Startup to be Established Under the EB-5 Program

The EB-5 foreign investor program is an immigration program that allows foreign investors to establish new businesses and create jobs in the United States. A notable benefit of this program is that it grants permanent residency to foreign investors who apply by investing in America.

Investors wishing to apply for the EB-5 program and establish a business under it must meet certain criteria. The investment and the business to be established have specific requirements. Meeting these criteria, as defined by the United States Immigration and Citizenship Services (USCIS), is crucial for a successful application.

Establishing a business in the United States requires certain qualifications and requirements. For example, an EB-5 business needs to ensure the investor has invested sufficient capital and has the potential to create jobs. Furthermore, it is crucial that the investor maintains control of the business and ensures its legal operation.

In this context, the main elements that an initiative to be established under the EB-5 program should possess are as follows:

• Meeting the appropriate amount of capital investment,
• The business must operate within a legally recognized business sector in the United States
• The business has the potential to create jobs in the region where the investment is made,
• The investor should assume a minimum active role in the business and contribute to decision-making,
• The business must have the potential to generate a return that can provide a livelihood for the investor and their family.

EB-5 Business Requirements
Capital Investment	Minimum $900,000 USD or $1,800,000 USD (Loyalty or Combined Spending)
Industry	Legal businesses operating in America
Employment	The investment has the potential to create employment in the region
Investor Role	Taking an active role in the workplace and contributing to decisions
Return Potential	A potential return that can support the investor and their family

Organizations Accepted as Commercial Enterprises within this Scope

In this context, another important factor that those applying through the EB-5 investor program should consider is the business classification. Applicants to the EB-5 program must ensure that the business they establish meets certain criteria. In this regard, organizations accepted as commercial enterprises are limited to specific sectors, and these sectors are determined by the American Industry Classification System (AICS).

Businesses accepted into the EB-5 program generally operate in sectors with job-creating potential and the potential to contribute to the American economy. These sectors include a variety of fields such as manufacturing, construction, tourism, healthcare, technology, food, and hospitality. However, in addition to these sectors, the EB-5 program may have set extra criteria for acceptance in certain sectors.

However, businesses accepted under the EB-5 program must also meet the specified minimum investment amount. This minimum investment amount can vary depending on the specific region or employment-intensive areas known as Targeted Employment Areas (TEAs). The minimum investment amount may be lower in TEA regions. Therefore, it is important for applicants to the EB-5 program to consider both the business class criteria and the minimum investment amount.

AICS Code	Sector Name
31-33	Manufacturing
23	Building
72	Tourism and Hospitality
62	Health Services
51	Software and Technology
72	Food Services

Does the investor's family have the right to claim under the EB-5 Investor Program?

The EB-5 Investor Program is an immigration program that offers permanent residency and citizenship opportunities to foreign investors who make significant financial contributions to the United States. This program is conditional on the applicant meeting various criteria and securing a certain investment amount. However, family members of the investor also have the right to apply under this program.

Spouses and children under the age of 21 of investors wishing to benefit from the EB-5 Investor Program are eligible to apply. These family members may have the right to come to the United States with the applicant investor. This allows foreign investors to live and work in America with their families.

However, the right of an investor's family to claim under the EB-5 Program is subject to certain conditions. First, the investor must specify their family members to be included in the program during the application process. Additionally, the investor's family members must also submit the necessary immigration applications and provide the required documents under the program.

• In some cases, an investor's children may lose their right to claim after turning 21. To avoid this, investors should submit their applications as early as possible and consider their children's ages.
• The EB-5 Program also includes resource requirements for family members. Meeting these resource requirements is important for family members to be able to benefit from their claim rights.

Applicant	Family Members Entitled to File a Claim
Investor	Spouse and children under the age of 21

The right of the investor's family to claim is a significant advantage of the EB-5 Investor Program. This allows investors to secure a better future for themselves and their families. However, certain conditions must be met to exercise this right.

What sectors are supported by regional investors?

Foreign investors are of great importance for a country's economic development. Through their investments in various sectors across different regions of the country, these investors contribute to increased employment, local economic growth, and accelerated technological advancement. In this context, regional investors stand out due to the sectors they support. So, what are the sectors supported by regional investors?

• Tourism: The tourism potential of countries is one of the priority sectors considered by regional investors. They contribute to the development of the tourism sector by making investments in hotels, resorts, restaurants, and entertainment venues in tourist areas.
• Industry: Regional investors assess a region's industrial potential and invest in industrial facilities such as factories and production plants. In this way, they contribute to solving the unemployment problem and achieving economic growth in the region.
• Technology: Investors prefer to invest in sectors with high potential for technological development and innovation. Investments in areas such as information technology, software development, and telecommunications contribute to strengthening the region's technological infrastructure.

These are just a few examples of sectors supported by regional investors. Investors' preferences may vary depending on the region's economic structure, potential, and future projections. More detailed information on sectors supported by regional investors can be found in sources such as interviews with investors and sector analyses.

How does the legal procedure work in the EB-5 Program?

The legal procedures of the EB-5 Program are crucial for foreign investors seeking permanent residency in the United States. This program allows investors to obtain residency by investing a specific amount to support economic growth in the US. Below, you can find more information on how the legal procedures work under the EB-5 Program.

The first step in the legal procedures under the EB-5 Program is selecting a suitable investment project. Investors should work with a professional consulting firm to evaluate projects and obtain reliable advisory services. Once a suitable project is found, the investor must submit an Investment Immigrant Petition (form I-526). At this stage, it is important for the investor to ensure that the project they plan to invest in meets all legal requirements.

Once the investor's I-526 application is approved, the second step, the Visa Creation Phase, begins. In this phase, the investor and their family apply to the U.S. Embassy or Consulate for an immigrant visa interview. During the interview, the investor's investment and request for permanent residency in the U.S. are examined in detail. If the application is approved, the investor and their family can enter the U.S. and receive a two-year temporary residence permit (Conditional Green Card).

• Following this stage, the investor must submit an I-829 application as the final step. The I-829 application must be submitted before the expiration date of the investor's two-year temporary residence permit. This application requires the investor to prove that their investment has achieved its job creation goals and that they have met the legal requirements to protect the investment. In addition to relevant documents and evidence, information demonstrating the investor's financial status and compliance with eligibility criteria must also be submitted with the application. Once the application process is complete, the investor and their family will receive an unconditional green card, granting them permanent residency in the United States.

How does the legal procedure work in the EB-5 Program?
1. Selecting an investment project
2. Application I-526
3. Visa application process
4. Application I-829

Prepared by: Student Intern Barış ÖZCAN