EB5 Investors Magazine "Top 25 Awards Edition" Volume 8 Issue 1 | Page 21

project. PROTECTING WEALTH – A PERSPECTIVE Currently, 2021 and beyond, based upon the pandemic and economic downturns, foreign national investors intend to maintain their wealth in existing assets such as securities or stocks on stock exchanges and/or real estate. Under credible processes, they can borrow funds against these assets whether they are located in the U.S. or their home country. Of course, these borrowed funds can then be invested in U.S. businesses or projects, which form the basis for U.S. visa entry into the U.S. L-1A NON-IMMIGRANT VISA There has to be a qualif ying relationship between the foreign parent company and its related U.S. subsidiar y corporation. The U.S. corporation will petition for the foreign executive to be transferred under the L-1A visa process. For a new U.S. corporate subsidiary business (less than 1 year), the L-1A visa is issued to the foreign executive for only one year. The L-1A intracompany transfer visa is based upon the fact that the U.S. corporation will have to, within one year, build up enough revenue and high- level executives and managers to allow the U.S. L-1A office to extend the status of executives and managers beyond the first year. There is a substantial cost for the U.S. corporation to spend on payroll and overhead operating costs to reach a level in the organizational hierarchy to justify the foreign national executive manager to extend their stay as stated beyond the first year. "To obtain U.S. permanent residency from an L-1A there will be additional substantial expenditures by the U.S. corporation" T h e L-1A d o e s n o t r e q u i r e a n irrevocable investment prior to visa issuance, however, it will need to show that the U.S. subsidiar y is properly “capitalized” usually by the foreign parent company and able to pay employees and operating costs etc. The L-1A requires executive and managerial employees to be hired quickly within the first year prior to filing the extension. A large cost factor. The L-1A requires an executed lease for the business operations prior to submission. A large cost factor. That is, a Landlord Tenant Agreement is essential for the L business to have an actual location to operate. For a new L-1A, new physical premises/offices would be required to show there is a place for employees, such as high level executives and managers. There is a significant challenge for a new L-1A office renewal (extension of L-1A status) with strict criteria to be applied. It’s recommended to have several employees including executives and managers. EB-1C: PERMANENT RESIDENCY FOR INTRA COMPANY EXECUTIVES To obtain U.S. permanent residency from an L-1A there will be additional substantial expenditures by the U.S. corporation which are owned by the foreign national investors or foreign corporations. That is, the investment either setting up a new L-1A U.S. corporation or buying an existing U.S. corporation subsidiary is substantial, i.e., large amount of investment to be applied to overhead and operating expenses and payroll, especially higher-level executives and managers. Once the U.S. Subsidiary Corporation has been in existence for more than one year, and after a substantial investment expenditure, then the U.S. Corporation can file an EB-1C petition for the foreign executive or manager to become an immigrant employee. An advantage is the U.S. corporation can petition for more than one executive (and family) e.g., EB5INVESTORS.COM 21