The US government runs two important immigration programs for foreign investors. We tell clients to first properly understand the important difference between E-5 and E-2 visas before applying for immigration to United States. Each program has distinct advantages and requires careful planning.
The key difference lies in only specific country nationals can apply for E-2 visa while Eb-5 program is open to all country nationals.
Here are some of the important differences between E-2 and EB-5 visas.
| Differences | E-2 | EB-5 |
| Visa Type | Investor visa | Golden Visa |
| Visa Category | Non-immmigrant | Immigrant Visa |
| Min. Investment | $100,000 – $200,000 | $900,000 to $1.8 million |
| Visa validity | 2-5 years | Temporary Green card (2 years) |
| Green card | No | Yes |
| Job creation | 5 jobs | 10 jobs |
| Waiting time | 3 weeks | 2-15 years |
| Citizenship | No | Yes |
| Residence conditions | None | Must move and live in US. Not absent for 6 months per year |
| Quota | none | 10,000 annual limit |
| Working | Full time | Director |
| Work permit | Spouse only | Spouse and children < 21 |
| Application paperwork | Easy | Complicated / Strict rules |
| Who can apply? | E-2 treaty countries | No restrictions |
| Taxes on Worldwide income* | May be | Yes |
| Visa fee | $205 | $3,675 (I-526 petition) |
| Total Legal costs | $10,000 to $20,000 | $50,000 to $100,000 |
*Please seek professional tax advise before your immigrate to US.
EB-5 Green Card
The EB-5 program was launched by Congress in 1990’s and also later introduced Regional center program with limited quotas. EB-5 is the golden visa visa program has the fastest route to green card and later citizenship after 5 years. The scheme requires $900,000 to be invested in a commercial enterprise and creating 10 jobs.
EB-5 is only suitable for HNW clients.
E-2 Visas
E-2 visas have number of benefits compared to EB-5, importantly it is cheaper and faster. Access to E-2 investor visa is a very important benefit that comes from Citizenship by investment (CBI) schemes.
Only nationals from E-2 treaty countries can apply for E-2 non-immigrant visas. China, Vietnam, Nigeria, Russia do not have E-2 treaty direct with US, so citizens from these countries can take advantage of CBI (Citizenship By Investment) schemes as backdoor entry to US
E-2 visas are investor visas, a cheaper alternative to EB-5 in terms of processing speed and investment. Remember E-2 visas are non-immigrant visas and even family members can apply. This visa issued for 2 years with extensions possible.
Citizenship by Investment
The use of Citizenship by Investment to secure a E-2 visa has become greatly popular recently among chinese clients. It is important to note new rules require 3 years of living before applying if you secured citizenship by investing.
There are only 7 countries that offer citizenship by investment and also have E-2 treaty investor signed with United States. All other Citizenship by investment programs (CIP) do not offer this benefit
- Montenegro
- Turkey
- Bulgaria
- Grenada
- Moldova
- Egypt
- Jordan
Full list of countries that have no E-2 treaty signed with United States is available here
Full list of countries have E-2 treaty with United States is available here
