Who does what
Project sponsor
Also called developer, project developer, sponsor.
Project sponsor, and its everyday synonym developer, is the industry name for the party that builds an EB-5 project and controls the entity receiving the capital and creating the jobs. Neither word appears in the EB-5 statute, the regulations or USCIS forms, so the label carries no legal standing of its own.
What it decides
The statute reaches the same party under other names. 8 U.S.C. 1153(b)(5)(D)(v) defines the job-creating entity as the United States business that receives capital from investors or from the new commercial enterprise under the regional center program and is responsible for creating the jobs, and (D)(i) makes it an affiliated job-creating entity when it is controlled, managed or owned by the people involved with the regional center or the enterprise under (H)(v). Test that distinction first. Where the sponsor's entity is affiliated, the people running it are involved persons who must file Form I-956H and clear the bars in (H)(i) and (H)(ii); where it is not, the Secretary may require the same attestations and background checks under (H)(iii)(III) but is not obliged to. Either way the record is already on file: 8 U.S.C. 1153(b)(5)(F)(i)(IV) requires the Form I-956F to carry the investment and offering documents, referencing material investment risks, conflicts of interest among the regional center, the enterprise and the job-creating entity, and any pending material litigation or bankruptcy and any material adverse judgment or bankruptcy order of the previous ten years affecting any of them. Ask for that, not the brochure.
Where this is explained properly
Pages here that go into project sponsor rather than mentioning it.
Related terms
- Job-creating entityA 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.
- Affiliated job-creating entityA job-creating entity in the regional center program that is controlled, managed or owned by any of the people involved with the regional center or the new commercial enterprise, those people being the ones who hold substantive authority, directly or indirectly, over the investors' money.
- 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.
- Form I-956FForm I-956F, Application for Approval of an Investment in a Commercial Enterprise, is the application a designated regional center must file for each particular investment offering before any investor may petition on that offering.
- General partner and managing memberThe general partner of a limited partnership, or the managing member or manager of a limited liability company, is the party that controls the EB-5 new commercial enterprise and decides what happens to the pooled capital. The partnership or operating agreement sets that power; the immigration statute only screens who may hold it.
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