An EB-5 investor can invest their funds in an EB-5 Regional Center project in which the funds are loaned to the project or the investment funds can be invested directly into the project company. The direct investment in the new commercial enterprise which is also the job creating entity will allow a return on the investment and hence profits. In a loan model the job creating entity is only paying a small interest on the loan repayment to the new commercial enterprise which give very little return to the EB-5 investor in the new commercial enterprise.
The return on the investment will depend on the EB-5 Regional Center, New Commercial Enterprise, and EB-5 Project. Whether a loan model or equity model may also affect the return.
Using an EB-5 attorney, like those at our law firm, to coordinate with a Regional Center or Project can help an investor create a successful U.S. Immigration strategy.