At Risk Investment


Posted on 12/16/2011 by Mark A. Ivener, A Law Corporation

The EB-5 Program is seeking to attract individuals from other countries who are willing to put their capital at risk in the United States, with the hope of a return on their investment, to help create U.S. jobs. The law does not specify what the degree of risk must be, whether minimal or significant; the capital need only be at risk to some degree. However, if the immigrant investor is guaranteed the return of a portion of his or her investment, or is guaranteed a rate of return on a portion of his or her investment, then that portion of the capital is not at risk. A promise to return the immigrant investor’s capital negates the required element of risk.

Taken from USCIS Policy Memorandum regarding EB-5 Adjudications Policy on November 9, 2011.

 

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About the Author

Mark Ivener is an experienced business and EB-5 immigration attorney who has written 5 books on Immigration Law as well as has written numerous articles and spoken at many events on EB-5 topics.

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