The programme
Job-creating entity
Also called JCE, job creating entity, affiliated job-creating entity.
A job-creating entity, or JCE, is the United States business in a regional center EB-5 deal that receives the investment capital, either straight from the investors or through the new commercial enterprise, and is responsible for creating the ten full-time jobs each investor's petition must count.
What it decides
8 U.S.C. 1153(b)(5)(D)(v) defines a job-creating entity as any organization formed in the United States for the ongoing conduct of lawful business, in any form and publicly or privately owned, including a holding company with its wholly owned subsidiaries or affiliates, that receives or is established to receive capital investment from alien investors or from a new commercial enterprise under the regional center program, and that is responsible for creating jobs to satisfy subparagraph (A)(ii), the ten full-time jobs per investor. The term belongs to the regional center program. It appears nowhere in 8 CFR 204.6, and a standalone investor has no JCE, because the new commercial enterprise itself must create the jobs. Unlike the new commercial enterprise, which 8 U.S.C. 1153(b)(5)(D)(vi) requires to be for-profit, a JCE carries no for-profit requirement. That is why in an infrastructure project the JCE is the governmental entity administering the project, contracting with the regional center or the new commercial enterprise to take the capital as financing for a public works project, under 8 U.S.C. 1153(b)(5)(D)(iv). In practice the JCE is the developer or operating company and is usually a company separate from the NCE, but the statute does not require separation: 8 U.S.C. 1153(b)(5)(E)(iv)(I) counts an employee of either the new commercial enterprise or the job-creating entity as holding a directly created job. A JCE controlled, managed or owned by a person in a position of substantive authority over the regional center or the new commercial enterprise, which is the test in 8 U.S.C. 1153(b)(5)(H)(v), is an affiliated job-creating entity under 8 U.S.C. 1153(b)(5)(D)(i). Affiliation costs more than disclosure. Capital transferred to an affiliated JCE must sit in a separate account until it is deployed into the project it was meant for, and the entity must notify the fund administrator in writing within 30 days after deployment, under 8 U.S.C. 1153(b)(5)(Q)(iii). Under 8 U.S.C. 1153(b)(5)(H)(i)(II), a vehicle owned by a foreign sovereign wealth fund may hold ownership only in a JCE that is not affiliated.
Where this is explained properly
Pages here that go into job-creating entity rather than mentioning it.
Related terms
- New commercial enterpriseA new commercial enterprise, usually shortened to NCE, is the for-profit entity formed in the United States that receives the EB-5 investor's capital and gives the investor an equity stake in return, and it is the enterprise the petition is built around.
- Regional centerA regional center is an economic unit, public or private, that USCIS has designated to sponsor pooled EB-5 investment within a defined, contiguous and limited geographic area, and it is the only route on which a petition may count indirect and induced jobs.
- 8 U.S.C. 1153(b)(5)8 U.S.C. 1153(b)(5), cited in filings as INA 203(b)(5), is the statute that creates the EB-5 category and, since the EB-5 Reform and Integrity Act of 2022, carries the investment amounts, the visa set-asides, the job creation caps and grandfathering in the statute itself. It runs from subparagraph (A) to subparagraph (S).
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