Unfortunately USCIS does not allow redemption provisions or the money is not viewed as “at-risk”. Regional centers are not allowed to offer redemptions in the middle of the project.

The very elements of investment “at risk” that have caused investors to be cautious of EB-5 have actually proven to be an advantage. The EB-5 program in the United States has avoided all of the vices that caused the halt of the Canadian program. The EB-5 program compels the investors to invest “new money” into mostly privately owned new commercial enterprises, the investment is placed at risk and the return of the funds or a portion of the funds cannot be guaranteed in any form.

The funds are invested into job-creating and economic development initiatives. This structure mitigates the government’s risks in underwriting the projects and conducting due diligence, leaving the project assessment and due diligence to the private sector.

Investment “at risk” and the actual capital commitment are legal safeguards to attract new foreign investment to the United States, allowing the EB-5 program to provide alternative financing to high-risk and low-return privately-owned projects that otherwise may not be funded.

To read more about what qualifies as an “At-risk” investment click here

This FAQ page or any linked webpages found here are not to be considered an offer or solicitation to sell or acquire securities or any other financial products and is not a prospectus, disclosure statement or other offering document. Any offering of securities will only be by means of a confidential private offering memorandum, and conducted in accordance with applicable law. These securities have not been registered under the Securities Act of 1933 and may not be offered or sold in the United States or to U.S. persons unless the securities are registered under the Act, or an exemption from the registration requirements of the Act is available. Hedging transactions involving the securities may not be conducted unless in compliance with the Act.

EB-5 has a 5 year duration, but if I get a green card through EB-2 before then can I get my investment back?

Unfortunately USCIS does not allow redemption provisions or the money is not viewed as “at-risk”. Regional centers are not allowed to offer redemptions in the middle of the project.

The very elements of investment “at risk” that have caused investors to be cautious of EB-5 have actually proven to be an advantage. The EB-5 program in the United States has avoided all of the vices that caused the halt of the Canadian program. The EB-5 program compels the investors to invest “new money” into mostly privately owned new commercial enterprises, the investment is placed at risk and the return of the funds or a portion of the funds cannot be guaranteed in any form.

The funds are invested into job-creating and economic development initiatives. This structure mitigates the government’s risks in underwriting the projects and conducting due diligence, leaving the project assessment and due diligence to the private sector.

Investment “at risk” and the actual capital commitment are legal safeguards to attract new foreign investment to the United States, allowing the EB-5 program to provide alternative financing to high-risk and low-return privately-owned projects that otherwise may not be funded.

To read more about what qualifies as an “At-risk” investment click here

This FAQ page or any linked webpages found here are not to be considered an offer or solicitation to sell or acquire securities or any other financial products and is not a prospectus, disclosure statement or other offering document. Any offering of securities will only be by means of a confidential private offering memorandum, and conducted in accordance with applicable law. These securities have not been registered under the Securities Act of 1933 and may not be offered or sold in the United States or to U.S. persons unless the securities are registered under the Act, or an exemption from the registration requirements of the Act is available. Hedging transactions involving the securities may not be conducted unless in compliance with the Act.