Quik Tip: how to select a reputable EB-5 broker in China

If you are raising EB-5 capital, most likely you will consider Chinese market since 80% of EB-5 investors are coming from the People's Republic of China. Even emigration agents in Taiwan and Hong Kong are actively developing the mainland Chinese market. There are over 600 licensed emigration consulting companies (brokers or agents) approved by the Ministry of Public Security in China, there are many more consulting companies that are not licensed at all, including those Americans or other westerners who are based in China and would like to have a piece of EB-5 pie. It often appears that everyone would tell you that they can raise EB-5 funding for your project or they have connections with Chinese officials or they have hundreds of investors waiting on the bench!  As an EB-5 project developer, you need to be very careful and cautious with such empty promises and false statements which may eventually lead you to a disastrous result or total waste of your time. Due diligence is a must prior to allowing someone in China to undertake your project, you do not want to risk your reputation and project with someone you really do not know at all!

Here are three quick and easy ways for you when conducting due diligence on Chinese emigration brokers or agents: 

• Just like any companies, they should demonstrate their track record! Request a list of EB-5 projects that they promoted in the past. Then make a call to these project RCs or developers to verify.
• Request a copy of their emigration service (exit & entry service) license issued by the Exit & Entry Administration of the Department of Public Security (Provincial Level).
• Monitor on Chinese social media and Internet media for a reputation check to see if there are any consumer complaints against the broker.    

You can also contact us for a quick background check on any licensed emigration agents in China. Our EB-5 China Marketing & Field Support Center has vast network of reputation emigration brokers and agents that have been promoting EB-5 projects throughout the country. Find out how you can minimize your project's risks, join us at our EB-5 Finance Seminar in Phoenix AZ March 3, 2013 or follow us by clicking to subscribe our EB-5 blog today.