By Peter Calabrese
CEO, CanAm Investor Services
In the last 5 years, Peter Calabrese is associated with the firm and has taken over the US division of the firm for the sale of private placement funds for domestic-based foreign. Before amalgamation with CanAm Enterprises, Mr Calabrese has also worked with raising capital for an investment management firm. Adding more to the experience, he has worked for 15 years in institutional sales and trading with a centralising on equity derivatives and volatility products. His expertise in trading has made his deal with a diverse client base including buying and selling side of structured products desks and liquidity providers. With a bachelor degree in Business Economics from Brown University, Providence Rhode Island, Mr Calabrese holds and holds the FINRA Series 7, 24, 63, and 66 licenses.
USCIS administered employment-based fifth category visa (EB-5 visa) permits investors along with their spouse and unmarried children under the age of 21 to apply for a Green Card, permanent residency. This visa category has been one of the most popular investor visa programs availed by immigrants worldwide. Over the last decade, Indians have increasingly identified the varied benefits attached to the program, including fast-tracking their pathway to a US Green card and then subsequent citizenship.
Investment and risk are a piece of the same cloth, inseparable. Thus, no protection can be guaranteed against potential loss.
However, the outcome is determined by a variety of factors, including the option chosen, your understanding of investment and business operations, and the management and investment decisions and strategies of the specific regional centre being considered, to mention a few.
Choose Your Route Carefully
There are two types of EB5 investments – direct investment or investment through a regional centre. Investing with a regional centre allows investors to get expert advice and minimize the risk involved since regional centres look to structure qualifying investment opportunities to mitigate the risk while a direct investment could allow for an investor to operate their own business, should it meet program specifications.
Analyze the Desired Outcome
The application’s success depends on the project one invests in; thus, do not hesitate to conduct due diligence on the projects and partners you plan to work with. Key factors that can help determine the investment strength are the capital stack and developer equity. Factually, EB-5 projects designed to produce immigration benefits does not often offer a high rate of return—higher rates of return generally direct more risk. But with changing interest rate markets, higher returns could be possible on future projects”
Selecting a Qualifying EB5 Project
Primary considerations while selecting an EB5 project are its immigration benefits and investing in the right project is step one to ensuring the process attains fruition. There are a plethora of criteria that need to be met for a project to qualify as an EB5 project. Investors putting their money at risk should most definitely seek advice from reputed financial and immigration advisors with no monetary affiliation to any business or regional centre. Investors should also focus on understanding their position as a lender to the chosen project vis a vis other lenders in the said project. Regulatory compliances of the project along with the job creation model should also be serious considerations.
Choosing the Right Advisors:
Finding the right set of advisors, including the regional centre, immigration attorney, financial advisors, and others, can make or break your EB5 application. And thus, you must invest in due diligence to learn about their history, pedigree, client testimonials, success matrix, and more before selecting your entourage. Tracking application success for their I-526 and I- 829 approvals on projects along with the history of capital return to investors could also be important benchmarks in the process.
The industry has witnessed a drastic increase in the number of EB-5 program applicants from India, thereby contributing to increased confidence in the program. It is a given that the EB-5 program is the safest and fastest legal route to a US residency. This route is especially beneficial for those looking at permanently relocating to the United States of America either with the hopes of employment or making it as an entrepreneur.
CanAm Enterprises is the leading full-service financial firm sponsoring EB-5 immigration-linked investment funds. Basing its business on a reputation of credibility and trust, CanAm has financed over 60 projects and raised nearly $3 billion in EB-5 investments. With three decades of experience promoting immigration-linked investments in the United States and Canada, more than $1.75 billion in EB-5 capital from over 3,500 investors on 45 projects has been repaid by CanAm to date. CanAm exclusively operates seven USCIS-designated regional centers that are located in the city of Philadelphia, the Commonwealth of Pennsylvania, the metropolitan regions of New York & New Jersey, the states of California, Hawaii, Florida, and Texas. For more information, please visit www.canamenterprises.com.