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SAINT-MAURICE · EB-5 FIELD GUIDE

Is a signed agreement to sell a Saint-Maurice farm enough to show the EB-5 capital requirement is met?

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THE DIRECT ANSWER

No. At filing the capital must be invested or actively in the process of being invested, and its source must be traced. An unclosed sale is a plan for capital, not capital.

Capital means money already placed, with a traced history

EB-5 requires that the investor has invested, or is actively in the process of investing, the qualifying amount in a new commercial enterprise at the time the petition is filed. A purchase agreement for the farm shows where money will come from, but until the sale closes and the proceeds are received, nothing has been invested. Even after closing, the investor must show that the funds were lawfully obtained, which for a farm means documenting how the land and quota were acquired, held and sold, and then show the path from the notary's trust account to the investor's account and on to the enterprise or its escrow.

Plan the sequence so the sale closes, the funds are traced, the investment is made or irrevocably committed, and only then is the petition filed. Filing on the strength of a contract invites a denial for failing the capital requirement, regardless of the family's wealth.