Essential Due Diligence: What Every EB-5 Investor Should Ask Before Committing

Every investor in the EB‑5 Immigrant Investor Program knows that the path to U.S. permanent residency is built not just on the investment amount, but on structure, timing, compliance and risks. The good news? With the right questions and documentation, you can greatly increase the probability of a successful immigration and investment outcome.

Here’s a comprehensive guide you can use whether you’re just starting your journey or in the midst of project review.

1. Know the EB-5 Framework

Before diving into a project, it’s vital to be clear on the basics:

● An investment of $800,000 (in a Targeted Employment Area / TEA) or $1,050,000 (non-TEA) is required.

● Your capital must be “at risk” for at least 2 years, and the project must create at least 10 jobs for U.S. workers (direct, indirect, or induced jobs)

●  For regional center-based investments, the project must be linked to a designated regional center, and job creation may include indirect/induced jobs under the new rules.

Understanding this sets a foundation so you evaluate whether a project is built to actually deliver, not just marketed to sell.

2. Evaluate the Regional Center

The regional center you choose will play a large role in your outcome. Key questions include:

● Is the regional center currently designated by the U.S. Citizenship and Immigration Services (USCIS) and in good standing? Check for terminated centers, audit findings or regulatory scrutiny.

● What is its track record? Ask: how many I-526E and I-829 petitions have been approved under its sponsorship? How many investors have already received their capital back?

● What is the background of its leadership and developer team? Have any been involved in litigation or regulatory issues? Full transparency is a must.

●  Is the center audited under the RIA (EB-5 Reform & Integrity Act of 2022) audit rules? (Under the RIA, each regional center must be audited at least once every five years.)

Choosing a strong regional center gives your investment and immigration application a better starting point.

3. Assess the EB-5 Project

Even the best regional center cannot compensate for a weak project. In your due diligence, you should review:

●   The business plan: is the market analysis realistic? Are the projections conservative and backed by credible data?

●  The economic impact study/job-creation model: does it use a recognised methodology (e.g., RIMS II, IMPLAN)? Is there a “job buffer” (i.e., more than the minimum 10 jobs per investor) built into the model?

● The capital stack: what senior debt, mezzanine debt, developer equity and EB-5 funds are involved? Where does your investment sit?

●  The construction or operational status: has the project broken ground? Are permits secured? Is the timeline aligned with your immigration schedule?

●   Exit and repayment strategy: how will your capital ultimately be returned (through refinancing, sale, cash flow)? What is the timeframe and risk of delay?

●  Risk-mitigation features: escrow agreements, guarantees, independent fund administration, transparent financial reporting.

In short: a project that appears strong on paper and is already underway gives you the best chance of meeting both your investment and immigration goals.

4. Review Offering Documents

The paperwork is where the terms, risks, rights and expectations are defined. With your attorney and financial advisor, review:

● Private Placement Memorandum (PPM): includes disclosure of risks, fees, structure and terms.

●  Subscription agreement, operating agreement or partnership agreement: your rights, obligations, priority of distributions, exit terms.

● Escrow agreement (if used): defines when funds will be released from escrow, and for what conditions.

● Financial documents: sources and uses, fees, developer equity, capital commitments.

● Marketing materials: verify that claims are accurate, not overly optimistic, and aligned with core documents.  

If any document is vague, contradictory or overly optimistic, consider it a red flag.

5. Hire the Right Advisors

Good advice can be your best investment. You’ll want:

●  EB-5 immigration attorney: One who understands the latest USCIS rules, source-of-funds issues, and project eligibility.

● Financial advisor or real-estate/investment specialist: Someone who can evaluate the capital stack, developer track record, and project feasibility.

● Tax advisor: Since you may become a U.S. tax resident, you’ll want clarity on how your investment, income and exit might be taxed.

Your advisors will help you dissect the investment deeply and protect both your capital and immigration path.

6. Plan for Exit and Liquidity

While the immigration benefit is often the primary focus, your capital investment is still a financial commitment:

● Understand when your capital is expected to be returned. Is it at project sale? Refinance? Cash flow distribution?

●   What happens if the project under-performs or is delayed? Are there instead protections or fallback options?

●  Recognise that EB-5 investments are typically illiquid for years—ensure the project fits your broader financial plan.

● Consider: how does this investment affect your family’s U.S. relocation timeline, conditional residency period, and eventual permanent status?

In other words: an exit plan is just as important as an entry plan.

Final Thought

Investing through the EB-5 program offers a powerful opportunity, but it’s not a passive product. Treat it like any high-stakes investment: do your homework, ask the right questions, and assemble a world-class advisory team.

When structured and vetted correctly, you position yourself not only for U.S. residency, but for a managed, informed investment journey.

At EB-5 USA, we help investors do exactly this: evaluate, decide and execute with clarity, confidence and compliance.

Because a Green Card shouldn't take lifetime.