Question:

Although USCIS does not require the use of escrow agreements, it is common practice to use escrow agreements for investor funds. Escrow agreements are permissible by USCIS if the terms of the escrow agreement are in accord with 8 CFR 204.6(j)(2), which requires that the I-526 petition be accompanied by evidence that the required amount of capital has been placed at risk, which is the actual commitment of the required capital into the project. Escrow agreements may allow for withholding investor funds in escrow until the investor’s EB-5 visa is issued, if the agreement is otherwise EB- 5 compliant.