The EB-5 program stipulates that an investor’s capital must be at risk, meaning it is subject to potential gain or loss. This requirement was clarified recently, emphasizing that funds placed in an escrow account that are returned if a project is not approved do not meet this criterion.
Key Details:
- Requirement: Investor capital must be at risk for EB-5 eligibility.
- Exclusion: Funds in escrow accounts that can be refunded do not satisfy this requirement.
- Implication: Investors should ensure that their capital is genuinely at risk to qualify for the EB-5 program.
This clarification impacts potential EB-5 investors, who must carefully consider their funding arrangements to meet program requirements. Need help with your immigration case? Visit QuickFiling.us for professional immigration services.
Source: Student EB5