The Many Benefits of Foreign Investment in U.S. Businesses
January 18th, 2012 § Leave a Comment
Foreign investment in a U.S. business is a win-win.
Under the EB-5 visa program, U.S. immigration law allows foreign investors to speed up their green card process when they invest money in the U.S. economy and employ Americans. It’s a sound investment for foreigners and a needed injection of jobs and money for struggling local economies.
Under the EB-5 visa program, the foreign investor is able to accelerate the green card process when he or she invests $1 million in a U.S. business. If the investment is made in an area considered a “targeted employment area” (defined as a rural area or one with unemployment at or above 150% of the national average), the investor only needs to invest a minimum of $500,000. In addition, the foreign investor must agree to employ at least 10 full time workers.
The EB-5 (investment visa) is currently a hot trend at Department of Homeland Security. There are 10,000 visas available in this category annually, but typically less than 1,500 are utilized. Although the investor program has been active since November 1990, it has become very popular lately as U.S. businesses and local communities struggle with high unemployment and difficult credit. Foreigners view the U.S. as a blue chip investment, and communities affected by the recession welcome the influx of money and jobs.
The United States as a whole also benefits from the EB-5 visa program. Investors like these are the type of people we need coming in to the U.S.: highly motivated, well educated, business savvy, financially secure individuals who want to run a business and provide full time employment for U.S. workers. In return, the foreigner and his/her immediate family receives permanent residency (green card status) after a conditional period of two years. It is a program that truly benefits everyone involved.
Like all Department of Homeland Security programs, the EB-5 program is complex, with many regulations to consider. If you or someone you know would like more information about this program and how to apply, give us a call. It’s what we do and we are happy to help! Thoughts on EB-5? Feel free to comment below.
