Third party controls for EB-5 loans: upcoming webinar

Third party loan administration is a best practice for EB-5 and is commonplace in similar types of investments.

In many EB-5 loans, the New Commercial Enterprise and Job Creating Entity — the lender and the borrower, respectively — are controlled by the same or related parties — called a related-party transaction.

Many consider these transactions at higher risk of fraud or mismanagement — investors may be wary, and the SEC subjects these transactions to a higher degree of scrutiny.

Using a third party EB-5 loan administrator introduces additional controls against misuse of funds, reassuring regulators and investors, and can provide the tracking and reporting capabilities needed to prove a project is compliant in the case of an SEC investigation.

To learn more about best practices for EB-5 loan servicing, register for NES Financial’s upcoming webinar, Preparing for I-829 Success: Best Practices in EB-5 Loan Administration, Friday, October 16th at 11 a.m. PST (2 p.m. EST).

Get more

What is EB-5? Find out more by downloading our EB-5 Solution Kit.

Contact us

Allow us to address your business needs by contacting us, or commenting on the post below. We look forward to hearing from you

2017-02-14T20:30:24+00:00 October 6th, 2015|Categories: EB-5|