Families are pooling together close to $1 million in savings, loans, and assets in search of permanent residency or a Green Card.
With the H-1B visa now coming with a whopping price of a $100,000 fee, a growing number of Indian professionals in Silicon Valley are pooling family wealth, liquidating their investments, and are looking at EB-5 investor visa as a long-term strategy for stability, and permanence in the United States.
Immigration experts say that many professionals after putting in decades in the American workforce have realized that the traditional employer-sponsored route may not offer a realistic pathway within a reasonable timeline to a stable future in the U.S. Immigration experts say that an increasing number of Indian immigrants are pooling together close to $1 million in family savings and assets in pursuit of something they believe the H-1B can no longer guarantee: permanence, flexibility, and control over their future.
To understand the trend and considerations families must keep in mind before exploring investment-based options, The American Bazaar spoke with Jenny Zhan. Zhan is the founder and CEO of Houston-based Beyond International, an alternative investment firm focused on private credit tied to real estate assets.
Under her leadership, the company has grown to manage 13 funds and earned national attention, including a spot on the 2024 Inc. 5000 list of Americas’ fastest-growing private companies.
The American Bazaar: How is the new $100,000 H-1B fee reshaping immigration choices for Indian tech professionals in Silicon Valley?
As someone who has spent years advising Indian tech professionals on U.S. immigration strategy, I can say that the introduction of the $100,000 H-1B fee has truly reshaped the landscape. Many impacted are viewing this as a pivotal moment—a wakeup call— that is pushing them to reconsider their long-term immigration strategy.
As a result of the increased H-1B fees and the EB-2 backlog that is stretching 20 plus years, we are seeing a shift toward alternative options that offer greater stability, such as the EB-5 investor visa. This is especially important for families with young children born in the U.S., who are seeking security and permanence.
We are currently advising Indian clients to take proactive steps to manage their legal status, considering not just the cost but the future implications for their families and careers.
Are more Indian families now viewing EB-5 as a “family investment strategy” rather than just an immigration pathway?
We are seeing more families pooling their money to apply for an EB-5 visa, which requires $800,000 to $1 million in investment in a USCIS approved project to stabilize their status and depend less on their employers.
When evaluating an EB-5 project, many investors lose sight of the “big picture” and begin to treat funding a project like a traditional private equity investment. We have helped more than 1,200 families achieve U.S. residency through the EB-5 immigration investment program and work closely with them, so they don’t lose sight of the end goal: to secure a Green Card.
We remind them that in the world of EB-5, your “true return” isn’t a percentage point; it’s your U.S. Green Card. We counsel them to look at it as an immigration pathway first instead of an investment strategy.
The good thing is that eventually, they will get their investment back and they can then redeploy the capital into a different type of investment strategy that can yield a return focused on maximizing profits.
How are Indian applicants funding these large EB-5 investments amid rising immigration costs in the U.S.?
Indian applicants are funding their EB-5 investments in different ways. They are pooling money from family members, receiving loans from uncles and parents, tapping their savings from their high-paying tech jobs or taking money from their 401Ks or other investments.
Additionally, the source of these funds needs to be documented extremely well by the applicant and their attorney. The U.S. government will review and do a thorough due diligence to ensure the investment money is coming from legitimate sources.
Could the growing shift from H-1B to EB-5 change the relationship between Silicon Valley startups and immigrant talent?
The shift from H-1B visa to EB-5 provides immigrant talent the freedom to find job opportunities that are not tied to a specific employer. It allows them, once they receive their EB-5 work permit and then their Green Card, to pursue their own dreams and start their own businesses if they wish.
The H-1B visa is a temporary worker visa that is a solid step to stablishing roots in the U.S. It allows immigrant talent the ability to accumulate wealth to fund an EB-5 investment, gain tech experience, learn the U.S. work environment and brainstorm potential startup ideas — look for funding — if that is the route they want to take.
In my personal view, pursing an EB-5 visa that helps secure a Green Card is the natural step after being in the country under an H-1B visa.