The “Unlocking Foreign Capital through the Federal EB-5 Program” seminar in Portland, Oregon on March 30th was a huge success. Reid Thomas, Executive Vice President of NES Financial, discussed the importance of placing investor funds in escrow during the EB-5 capital raise process. Although not legally mandated, using escrows to hold investor funds is widely seen as a best practice. With an escrow, the escrow agent, typically a bank, oversees the deposit and disbursement of the funds, providing an extra layer of security to EB-5 Regional Centers and their investors.
The use of an escrow reduces the risks associated with investing EB-5 funds in a project, either directly or through a loan to the developer, before it is certain that a Regional Center (I-924 Petition), its project (Exemplar), or an investor (I-526 Petition) will be approved by the USCIS. The escrow provides security and transparency of funds and funds movement, giving investors the confidence that they have chosen the best investment to achieve their immigration goals.
Learn more about NES Financial and our extensive experience in EB-5 Administration Solutions.
NES Financial welcomes your questions and opinions. Allow us to address your business needs by contacting us. We look forward to hearing from you!