The I-526 report is the backbone for an entrepreneurial investment plan that includes economic stimulus and job creation. Elements of economic report submissions include the number of jobs the investment will create and the direct, as well as indirect economic impact an investment will have on the surrounding area.

This report evaluated by the USCIS commonly employs a widely accepted input/output model to measure economic impact. Proposed projects that are tied to a regional center are evaluated by their impact on a pre-set geographic area. The larger the geographic area, the more challenging it will be for a project to qualify under economic multiplier claims.

Source of Investment Capital

The source of EB-5 investment capital must adhere to certain requirements in order to be valid for the program. The investor must be able to show the source of funds from the point of origin. Lawful sources of capital for investment include:

• Job earnings
• Property sale proceeds
• Mortgaged assets
• Gifts
• Investment distributions

The capital needs to truly come from outside of the United States. Any money borrowed or earned before the investor had conditional permanent residency is not valid for use in the EB-5 program. Funding must be placed in an escrow account and is considered dedicated to the EB-5 venture by the USCIS.

The Investor Must be Managerial

The EB-5 investor is required to manage the business enterprise that he or she has invested in. Management involvement includes day to day operations to limited partner involvement. Before filing I-526, it is crucial to make sure that the proposed management structure qualifies as a legal arrangement.

Job Creation Stipulations

The new entrepreneurial venture that is invested in must create 10 full-time positions, and there are stipulations regarding who counts as an employee. The investor and his or her spouse and any children under the age of 21 are not able to count as employees for the EB-5 guidelines. In addition, the EB-5 petition needs to outline a plan to hire employees if the 10 positions are not filled at the outset of the business venture.

Indirect Economic Impact Can Count

Some input/output economic modeling methods used for EB-5 qualification measure the amount of economic impact a planned business will indirectly have on a geographic area. Evidence of indirect impact is measured in the growth of service sector businesses, housing gains, and an increase in retail presence in an area.

Utilize Economic Spillover

You can increase the chances that your proposed business venture will be approved when you create a thorough and detailed report with credibility to supplement your EB-5 information. One economic analysis strategy that can also improve your approval chances is the utilization of an economic spillover report. The report combines several county regions together and positively analyzes the impact that the proposed enterprise will have on the larger area.

By fully analyzing your business plan and making modifications to improve the likelihood of approval by the USCIS, your new commercial enterprise can pave the way for permanent residency in the United States. The I-526 is of utmost importance to complete properly in order to take the next step to invest in American business.

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