Marketing and Promoting EB-5 Investments: Securities Issues for Regional Centers and Immigration Lawyers to Consider
When a newly formed, start-up company needs to raise capital, it typically looks for investors by conducting an offering of its equity securities. This is no different for a regional center or limited partnership formed in connection with the regional center pilot program1 pursuant to the EB-5 employment creation immigrant visa category.2 A limited partnership (or other entity) formed for the purpose of obtaining investment from foreign individuals seeking an EB-5 visa is conducting an offering of its equity securities like any other newly formed, start-up company. Therefore, it is important for regional centers to understand how U.S. securities laws affect their ability to obtain these EB-5 investors. More specifically, regional centers must learn how securities laws impact their ability to market and promote their regional center investments. In addition, both regional centers and immigration lawyers must understand how securities laws affect their ability to pay or receive, as the case may be, referral or other fees in connection with the promotion of the regional center.
