A Basic Guide for EB-5 Visa Job Creation
What are the Job creation requirements under EB-5 visa?
The EB-5 Visa is the program that offers the permanent residency to foreign investors subject to few regulations. The investment amount varies on the basis of area, the minimum investment amount to qualify the program is $1 million and whereas the same is $500,000 ($500,000.00 minimum investment amount is extended and approved up until September 30, 2018) in the Targeted Employment Area.
The other collateral condition is to generate 10 full-time jobs for the qualified employees of the USA. The type and duration of the job are also essential for qualifying the limits.
Type of the Job:-
As per the regulations, the investor should invest the minimum investment amount in such manner that it results in creating the 10 full time qualified employment positions.
Where the investment is made in the New Commercial Enterprise, which is not located in any regional center, the required jobs must be created by its own and direct.
While counting the numbers of the job created, there are three types of jobs which are attached to the business namely Direct, Indirect and Induced Jobs.
Direct Jobs – The Direct jobs are those which are generated through the operations of a business and fully dependent on the same. The Direct job establishes the employer – employee relationship between the NCE and the worker. For example Opening an educational institute creates the direct jobs such as teachers and administration staffs.
Indirect Jobs – The Indirect Jobs, which are resulting in the job opportunities for any other commercial enterprise due to the existence and operation of the New Commercial Enterprise. In a case of the investment made through the regional centers, the consideration of indirect job based on the social economic report of business and the methodologies defined by the USCIS. In continuance of the above example, the new opportunities raised in the stationary market are the indirect Jobs.
Induced Jobs – The other type is the Induced Jobs, the opportunities which are created within the economy due to the impact revenue generation and expenditure made by the employees of the New Commercial Enterprise. In the same example, the amount spent by the teachers in the locality results in the local establishment and growth counted as the Induced Jobs.
Who are counted as the Qualified Employees?
The Qualified employees is the person, who is a permanent US citizen or any other Immigrant who have the authorized working permit within the country, it also includes a conditional resident, a temporary resident, an asylee, a refugee, or any person residing in the United States under suspension of deportation, but it clearly excludes the immigrant investor and his dependent family, any foreign national in any nonimmigrant status or a person who don’t carry the authorized working permits to work in the USA.
Which are the job creation requirements for troubled business?
Any business will be covered under the term “Troubled Business” where,
- The successful existence of the business is a must for 2 years.
- The business is incurring the net loss during the period of 12 to 24 months prior to the submission of the immigrant’s I-526 form. The loss incurred during the period must be at least 20% of the net worth of the business excluding the loss.
As the EB-5 Program also allows the investment in the Troubled Business, the satisfaction of the job creation requirement can be by both either creating the jobs or preserving the Jobs.
Which documents are required to be submitted to the USCIS?
The immigrant is required to submit the evidence that the 10 full- time employments have created or will be created by the investment made to the USCIS. Where the New Commercial Enterprise has satisfied the condition, the same must be proven through the relevant tax records. While the job is yet to be supported by the New Commercial Enterprise, the comprehensive business plan with the projected business strategies with the approximate dates must be submitted to the USCIS.
The Full time employment means the qualified employee must work at least 35 hours per week; here creation of the service position is taken into account regardless the persons working for the same.
Permanent Employment is also one of the conditions of the full-time job creation requirement. So while counting the qualified jobs, the intermittent or temporary or seasonal jobs are excluded. However, if the temporary job provides the employment for 2 years or more, it may be treated as the permanent job.