You’ve saved for years and started your EB-5 plan. Then someone tells you the money must be only cash in your name. You pause. That belief stalls real plans and can lead to costly mistakes.
One of the most common reasons EB-5 applications get delayed or denied is poor documentation of the source of funds. In Q1 FY2024, only 64% of legacy I-526 petitions were approved, while I-526E petitions had a 100% approval rate, thanks to better documentation and clearer standards.
This post breaks down EB-5 money myths, clarifies the minimum investment ($800K in a TEA or infrastructure project, $1.05M otherwise), and shows how loans, gifts, and inheritance can qualify—when properly documented. A diversified funding strategy supports compliance and helps your EB-5 plan move forward with confidence.
Let’s sort the myths from the facts.
What Investors Often Get Wrong About EB5 Money
Families hear mixed advice about EB5 money. Here are the most common myths and the facts that keep your plan on track. Small gaps in sourcing or documentation can slow a petition.
❌ Myth 1: EB5 money must be personal savings.
✅ Fact: USCIS accepts lawful sources. Loans, gifts, inheritance, or a business sale can work when records are complete for an immigrant investor.
❌ Myth 2: EB5 money is unsafe in a regional center project.
✅ Fact: Risk exists in any investor program. Many EB-5 developments report job creation clearly within a regional center structure.
❌ Myth 3: EB5 money must stay in one account until approval.
✅ Fact: Funds move per offering terms. Timing follows EB-5 program rules and the schedule tied to the EB-5 visa.
❌ Myth 4: EB5 money cannot include foreign accounts.
✅ Fact: A foreign investor may use overseas assets if the source is lawful and traced through bank records.
❌ Myth 5: EB5 money guarantees fast approval.
✅ Fact: An EB-5 investor must still meet all policy tests, project rules, and evidence standards.
Result: When EB5 money is sourced and documented well, reviews go smoother and delays shrink. If headlines raise concern, see our note on whether the EB-5 visa program is ending.
Understanding the EB5 Minimum Investment Requirement
The EB5 minimum investment sets the entry point for the investor visa under the EB-5 immigrant investor program. It is $800,000 in a targeted employment area or infrastructure project and $1,050,000 elsewhere. This section explains how the EB5 minimum investment works, where it applies, and what families should plan for.
For examples of projects, see our EB5 real estate projects that meet these thresholds. The table below shows the amounts at a glance.
| Location Category | Amount | Notes |
| TEA or infrastructure | $800,000 | Often through the regional center program |
| Non-TEA | $1,050,000 | Direct or regional center structures |
Next, compliance basics behind the EB5 minimum investment.
Funds must be at risk as a capital investment in a new commercial enterprise. The investor must support job creation of at least ten positions to move toward a green card and permanent resident status.
- Filing steps and evidence – Your I-526 shows the source of funds and how the EB5 minimum investment goes into the commercial enterprise. Clear records reduce questions and help the immigrant investor program review.
- Planning and timing – Align cash flow with the EB5 minimum investment, fees, and any escrow terms. Movement toward an immigrant visa depends on verified job creation, not only the minimum investment.
How EB5 Financing Options Work Beyond Cash Savings
Many investors think they need only cash savings. EB5 financing allows lawful sources when documented. The key points below explain common options that meet citizenship and immigration rules.
Loans Backed by Assets or Income
EB5 financing from a bank or a family loan can qualify if terms are real and funds are lawful. Use clear records in Form I-526. Effect: capital reaches the project and supports full-time jobs through direct investment.
Gifts And Inheritance
EB5 financing works if the donor proves lawful funds and has no duty to repay. Source trails and tax receipts matter.
Business or Property Sale
EB5 financing may use sale proceeds. Contracts, taxes, and bank records must match the investment amount.
Home Equity or Refinancing
EB5 financing through collateral can be valid with bank statements and deed records. This option can help projects in a rural area or a high-unemployment zone.
When structured well, EB5 financing supports economic growth and creates full-time jobs. EB5 financing also aligns with permanent residence goals and helps you obtain an EB-5 application. Results improve when a capital investment by foreign investors follows project rules.
For process basics, see our guide to the rules for the EB-5 visa.
The Role of EB-5 Funding in Building Secure Projects
Investors want clear rules and real results. EB-5 funding links the capital invested to trackable activity in the U.S. It also gives families a way to see jobs and timelines in plain terms. EB-5 funding makes reviews easier when records are clear.
Job Creation You Can Verify
Projects using EB-5 funding must create at least 10 full-time jobs. In a regional structure, roles can be created indirectly through construction and operations. Work in a high-unemployment area can also meet the rule when the plan fits.
Compliance, Evidence, and Timing
The investor must invest the minimum investment amount and keep funds at risk. EB-5 funding supports evidence for Citizenship and Immigration Services and helps secure the priority date. EB-5 funding shows how the capital invested flows into the enterprise and how jobs are counted.
Family and Project Resilience
Proper EB-5 funding can lead to lawful permanent residence when the project meets the test. Spouses and unmarried children may benefit once rules are met. EB-5 funding can also stabilize a troubled business that keeps jobs and income.
For next steps, the team at Austin EB5 can help you review options and timelines.
Map Your Capital Plan With Austin EB5
You want to use the funds the right way. Loans, gifts, or a sale can work. Each needs clean records. You also need timing that fits your life.
Austin EB5 helps investors understand which financial records are commonly required for the EB-5 process and connects them with experienced professionals who can prepare the necessary documentation.
Book a call now to discuss EB-5 investment options and get your questions answered in plain terms.
