EB-5 regional center offerings involve a New Commercial Enterprise (“NCE”), the entity the immigrant invests into and an independent Job Creating Enterprise (“JCE”), which the NCE invests or loans the EB-5 investment funds into.
Job Creating Enterprise (JCE)
Each investor’s full investment amount must be deployed into the JCE. The investor’s EB-5 funds cannot be used to pay the NCE’s administrative expenses such as its legal or accounting expenses. Moneys received by the NCE from the JCE as part of the loan or preferred equity investment, such as interest payments or other returns, can be used to pay NCE expenses.