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[Q] If I am considering changing to EB-5 from my current E-2 status, what factors do I have to consider?


By e2advisor - Posted on 24 July 2010

Note that retained earnings of E-2 enterprise does not constitute investment capital for EB-5 case. In other words, the profit the U.S. enterprise earned, kept in its bank account and then reinvested the profits into the company to buy new equipment and expand, do not count as capital investment for EB-5 purpose. In order to count as capital investment for the purpose of EB-5 case, the investor would have to show that the E-2 enterprise has paid its profit to him or her as salary or dividends, and then this money has been invested directly from the individual investor to the U.S. enterprise. I guess the U.S. wants to get its tax money.

Also, you have to see if you created requisite jobs.

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