For an EB-5 investor, finding a great project is only one part of successfully obtaining a Green Card. The I-526E immigrant petition, the first step of the EB-5 process, requires an EB-5 investor to provide a detailed explanation of how and when he or she got the money for the EB-5 investment. This source of funds component must include clear written evidence that the invested money comes from legal sources.
This component of the I-526E petition is absolutely critical.
If an EB-5 investor’s source of funds is incomplete, unclear, or lacks sufficient evidence, the investor’s immigrant petition may be denied. This is true even if the investment in the project is 100% compliant and creates at least 10 new jobs for U.S. workers.
If you are an EB-5 investor preparing to invest in a project, you need a highly skilled, knowledgeable immigration attorney to put together your source of funds. The last thing you want is to be disqualified from getting your EB-5 visa due to some error or oversight in your application.
But what does a high-quality source of funds look like? And how do you select an experienced immigration attorney—one that knows how to put together a successful source of funds?
In this article, we address one of the biggest issues facing EB-5 investors when it comes to source of funds: lack of transparency.
First, we explain why source of funds is one of the least transparent aspects of the EB-5 process. Then, instead of offering excuses, we offer a solution: we provide a real-life example source of funds document. Finally, we discuss how to find the right attorney to handle your specific source of funds scenario.
Why Is There a Lack of Transparency Surrounding EB-5 Source of Funds?
EB5AN Brings Transparency to Source of Funds
Find an Attorney You Can Trust with Your Source of Funds
Additional Source of Funds Resources
Why Is There a Lack of Transparency Surrounding EB-5 Source of Funds?
Before hiring an immigration attorney, EB-5 investors should have confidence that their attorney will be able to compile a successful source of funds. As a result, any lack of transparency or any insufficiency with source of funds is a major issue.
To our knowledge, no one in the EB-5 industry has made any serious efforts to bring transparency to source of funds documentation. Little is written on the subject. No example documents are available.
If proving lawful source of funds is so important to a successful EB-5 petition—and it is—then why is so little information available on the subject?
Source of funds documents are built to fit the profile of each EB-5 investor. These documents are highly confidential. They contain employment records, bank statements, family history, and other personal financial information.
Confidentiality is one of the main hurdles in sharing a sample source of funds. Since every source of funds document is made for a specific client, it cannot be shared with potential clients as a sample due to attorney-client privilege.
Also, source of funds documentation is customized to the individual investor. As a result, providing a sample that closely matches the profile of a potential client is a challenge.
Finally, one of the leading reasons for a lack of transparency surrounding source of funds is that EB-5 investors are not asking for more information. EB-5 investors often don’t know what they need to be asking immigration attorneys before hiring them. And they don’t know what to look for specifically when it comes to source of funds.
EB5AN Brings Transparency to Source of Funds
EB5AN is pleased to partner with Anahita George of George and Marzialo PLLC to bring much-needed transparency to the subject of EB-5 source of funds documentation. Despite the obstacles noted above, we believe it is vital to equip EB-5 investors with the information they need to make informed decisions.
To that end, we are providing a downloadable sample I-526E petition with source of funds documentation. This sample is based upon real-life sources of funds from EB-5 investors who selected projects in 2023.
Download the Free Source of Funds Sample
Note that for this sample, the names of people and companies as well as other identifying information have been changed to protect privacy. No confidentiality was breached in the production of this sample.
This sample EB-5 source of funds document will give you an idea of what a high-quality source of funds looks like. The sample is based upon the following primary facts:
- The investor is an Indian national
- She received a gift from her father based on his business earnings
- She received a gift from her husband based on his business earnings
- She earned income from her own business
- She received a gift from her father based on her grandfather’s business earnings
Some of the facts in this sample may closely match your own situation, and some may not. Each person’s financial situation is unique and must be treated as such.
The downloadable sample will also show the level of detail required in a successful source of funds. USCIS requires evidence that the entire investment is derived from legal sources. This requires a massive amount of written documentation. By reviewing the exhibits listed in this sample, you will get a sense for the kinds of records you will need to provide and how far back these records need to go.
Find an Attorney You Can Trust with Your Source of Funds
As you can probably tell from the downloadable sample, source of funds documents are incredibly complex. Each investor’s financial situation is unique. Every detail must be clearly presented. Finding an attorney you can trust with this key task is one of the most important decisions you will make as an EB-5 investor. Your EB-5 attorney needs to have strong organizational skills and a high level of attention to detail.
Your Source of Funds Is Like a Custom Suit (or Dress)
Imagine for a moment you need a suit (or dress) for one of the most important events of your life. You want it made of a particular material in a specific style and with select features. Any competent tailor could provide the features you want and fit the suit (or dress) to your body. But what if the tailor has never used the particular material you want? What if he or she has never made a suit (or dress) in the style you’ve selected? You won’t have time for a second try if the first suit (or dress) isn’t right.
Would you go to this tailor, or would you look for another who has experience making exactly what you want?
You would find a tailor you know you can trust with your suit (or dress).
In the same way, you want to look for an EB-5 immigration attorney who has a proven record of success for investors most similar to you. Your nationality, the sources of your investment, the records you have access to, and other personal details all matter. Sources of funds for investors from India will look different from those for investors from China. There is no one-size-fits-all option.
Anahita George specializes in drafting source of funds documentation for Indian investors. She has completed over 500 applications with a 100% approval rate with USCIS. According to her, “Most investors are not aware of how complex the source of funds process is. It involves tracking funds from multiple sources, in many cases going back decades. Hundreds of documents may be required for evidence. And every country has different policies, laws, and regulations that must be considered. This task is daunting, and you definitely need someone who knows what they are doing to handle it for you.”
You Need to Ask the Right Questions
When looking for an EB-5 immigration attorney, you need to ask some specific questions.
How many EB-5 applications have you filed for clients?
- Best Answer: The attorney has completed hundreds of EB-5 applications over the past several years.
- Worst Answer: The attorney has completed few if any EB-5 applications.
How many of the EB-5 applications you have filed have been denied?
- Best Answer: The attorney has a 100% approval rate with USCIS.
- Worst Answer: The attorney has had one or more petitions denied by USCIS.
How many EB-5 sources of funds have you done for investors from the same country as me?
- Best Answer: The attorney specializes in applications for EB-5 investors with sources of funds from the same country that you are bringing funds from. Most or all of the applications they have filed are for investors with investment funds sourced from that country.
- Worst Answer: The attorney has filed few or no applications for EB-5 investors with funds sourced from the same country as you.
How many EB-5 sources of funds have you done that include facts similar to mine?
- Best Answer: The attorney has filed multiple applications that include funds from sources like yours. For example, if your funds are from gifts, income, and a loan, the attorney has put together many sources of funds that included gifts, income, and loans.
- Worst Answer: The attorney has not filed an application that included one or more of the same sources of funds as you. For example, if your funds are from gifts, income, and a loan, and the attorney has never put together a source of funds that included a loan, this is a red flag.
Additional Source of Funds Resources
If this topic is new to you, or if you have more questions, we encourage you to check out some of our other resources. Our recent source of funds webinar with Anahita George, below, would be a great place to start.
For more information or for a free EB-5 consultation, schedule a free call with EB5AN today or reach out to Anahita George via text or WhatsApp at 425.328.9339 or email anahita@SelectGM.com
