What Is a Direct EB-5 Investment?
A Direct EB-5 investment involves putting capital into a single, specific U.S. business in which the investor must create 10 new full-time, W-2 jobs that can be directly traced to the business’ operations.
The EB-5 Reform and Integrity Act of 2022 introduced several important changes that significantly impact how Direct EB-5 projects must be structured. Under the new rules, Direct EB-5 investments may no longer be pooled—meaning any project that involves more than one EB-5 investor must now be sponsored by a Regional Center. In addition, Direct EB-5 investors may not combine operations across both TEA and non-TEA locations within the same investment. To qualify for the $800,000 TEA threshold, every element of the job-creating activity must take place entirely within a designated Targeted Employment Area. For businesses operating across multiple sites, this often means choosing one primary location that can be easily and clearly verified as a TEA. These changes were designed to create greater clarity in Direct EB-5 filings, but they also limit structuring flexibility—making careful planning essential.
New to EB-5? Read our EB-5 Visa Investment Guide.
Key Features of Direct EB-5
Investor may have an active or managerial role in the business, though not necessary.
Typically investor will make their direct EB-5 investment as common equity and will have minority shareholder protections if investing alongside a local operational partner.
Investors can invest in their own existing U.S. business if the company can legitimately expand and support the required 10 new jobs. Read our blog post for more detail on investing in your own U.S. business to qualify for Direct EB-5.
If the investor is investing in their own business, they will have full operational control and responsibility for creating the required job and meeting the USCIS requirements for compliance with the direct EB-5 program.
Investment must align with a USCIS-compliant business plan (Matter of Ho).
Direct EB-5 investors file form I-526 instead of form I-526E, which is for Regional Center EB-5 investments.
Must create and sustain 10 direct, full-time jobs for at least two years.
Business must demonstrate that the jobs arise organically from real business activity, not artificially inflated payroll.
Investment amount is $800,000 if the business is in a TEA (Targeted Employment Area) and $1,050,000 otherwise.
Read our full list of FAQs regarding EB-5.
Why Most Investors Choose Regional Center EB-5
Higher likelihood of successful I-526E and I-829 approvals
Passive role with no operational burden
Jobs created through construction and economic impact, allowing for indirect and induced jobs to be counted in addition to direct jobs, thus greatly reducing the job creation burden.
Capital often repaid in 3–6 years depending on project structure
Ideal for investors whose primary goal is the Green Card, not running a U.S. business
See our currently available Regional Center EB-5 project.
Direct vs. Regional Center EB-5: A Practical Comparison
Immigration Risk
Direct: Higher — dependent on business performance and job creation
Regional Center: Lower — indirect job creation provides a large buffer
Level of Effort
Direct: You may need to manage the business unless you have local operational partners
Regional Center: Completely passive
Capital Certainty
Direct: May require more money if payroll is insufficient
Regional Center: Capital amount fixed at $800,000
Return on Investment
Direct: Potentially higher but with much higher risk
Regional Center: Modest returns but far lower immigration risk
Our Recommendation to Investors Considering Direct EB-5
If you already have a business in the U.S. and would like to invest in it for EB-5 purposes, we recommend:
Step 1 — Perform a Serious Feasibility Analysis
Ask yourself:
Can your business realistically support 10 new full-time W-2 employees?
Will the business generate enough revenue to justify those jobs?
Can those jobs be maintained for at least two years?
Step 2 — Compare Your Business Growth to Regional Center Certainty
If the answer is “not absolutely yes,” then you may be much better off:
Making an $800,000 Regional Center investment, securing your Green Card, then
Investing additional capital into your business without immigration pressure.
This approach removes the stress of trying to force job creation into a specific USCIS timeline.
Step 3 — Consider Partnering With an Experienced U.S. Operator
If you are new to the U.S. market, an operational partner can:
Offer a proven business model
Invest alongside you, this reducing your financial exposure
Help manage compliance
Run the day-to-day business
Provide staffing and HR systems
Stabilize job growth
Reduce the risk of EB-5 denial
Final Thoughts
Direct EB-5 is a great fit for only a small percentage of investors—those who already have operational experience, a scalable business, and the ability to create 10 new jobs organically.
For most investors, Regional Center EB-5 offers a safer, more predictable, and more flexible path to obtaining permanent residency, with far lower immigration risk and a fully passive structure.
If your top priority is reliably securing your Green Card, Regional Center EB-5 is almost always the superior choice.
If your priority is entrepreneurship and you can confidently grow a job-creating business, then Direct EB-5 may be appropriate with proper planning and professional support.