If you’re preparing an EB-5 visa application, you’ve likely encountered references to Matter of Ho. But what does this landmark decision mean, where does the name come from, and why is it so critical to your petition?
The name Matter of Ho originates from a pivotal 1998 case in which the petitioner, Mr. Ho, submitted an EB-5 application that became the subject of an appeal. The Administrative Appeals Office (AAO) used this case to clarify the standards for EB-5 business plans, defining what makes them “comprehensive” and “credible.” Today, Matter of Ho remains the benchmark for what USCIS expects from EB-5 applicants.
Here’s how this decision impacts your EB-5 application and what USCIS looks for in a compliant business plan.
What Does “Comprehensive” Mean?
The USCIS Policy Manual provides clear guidance on what makes an EB-5 business plan comprehensive. A comprehensive plan addresses all relevant aspects of the proposed business, presenting the information in enough detail to satisfy USCIS adjudicators.
While a business plan does not need to include every possible detail, it must address the core content categories outlined in the Policy Manual. Omitting key elements risks receiving a Request for Evidence (RFE).
Key Components of a Comprehensive Matter of Ho Business Plan:
1. Market Analysis
- Detailed research on the market opportunity, including a description of the target market and prospective customers.
- Competitor pricing comparisons and analysis of competing businesses’ strengths and weaknesses.
2. Financial Information
- Income projections with clearly explained assumptions.
- Detailed cost estimates and sales forecasts grounded in industry data.
3. Staffing Plan
- A hiring schedule, job descriptions, and staffing requirements (for direct EB-5 projects).
4. Operational Details
- Discussion of manufacturing or production processes, supply sources, and contracts (if applicable).
5. Permits and Licenses
- Documentation of all necessary permits and licenses and their status.
6. Economic Model Inputs (for Regional Center Projects)
- Expenditure and revenue assumptions for the economic analysis of job creation.
Market, competitor, and financial analysis are particularly critical, as they differentiate a business plan from a simple business description. These elements are also vital for establishing credibility.
USCIS places emphasis on detail rather than length. According to USCIS training materials, one of the most common deficiencies in EB-5 business plans is being “all rhetoric, no substance.” A strong business plan avoids unnecessary wording that obscures essential details, presenting the information concisely and effectively.
What Does “Credible” Mean?
For USCIS, credibility hinges on whether the business plan demonstrates feasibility, reasonable assumptions, and job creation potential. Adjudicators assess credibility by asking three key questions:
1. Is the Business Feasible?
- The business plan must be coherent and supported by evidence, including documentation of necessary resources, permits, and schedules
- USCIS particularly scrutinizes permitting details, development schedules, and the experience of personnel involved in the business.
2. Are the Assumptions Reasonable?
- Market analysis and financial projections must include evidence-based assumptions, supported by references to industry benchmarks or third-party data.
- Footnotes and exhibits that validate the assumptions strengthen the plan’s credibility.
3. Will the Business Create the Required Jobs?
- For direct EB-5 projects, the staffing section must define full-time positions, include job descriptions, and provide a hiring schedule.
- The staffing plan must align with the business description, facility size, development timeline, and financial projections.
- For regional center projects, job creation is demonstrated through inputs to an economic analysis, such as expenditures and revenues, with evidence supporting those inputs.
Additional Considerations
The business plan is not only critical for demonstrating prospective job creation—it also supports other EB-5 requirements:
- Capital at Risk: USCIS evaluates the business plan to confirm that EB-5 investment is directed toward job-creating activities and that there are no impermissible guarantees or loan agreements.
- New Commercial Enterprise: The business plan establishes how the enterprise qualifies as “new” (It must have been formed after November 29, 1990).
- EB-5 Investor Role: The plan must clearly define the investor’s role in the enterprise.
Why Attorneys Nationwide Recommend Us
Crafting a business plan that meets Matter of Ho standards requires expertise and attention to detail. For over 15 years, we’ve been trusted by immigration attorneys nationwide to deliver plans that are:
- Thorough and Comprehensive: We address all required elements with precise and well-researched details.
- Credible: Our plans are supported by industry benchmarks, third-party data, and realistic projections, ensuring feasibility.
- Concise: We avoid unnecessary wording, making it easier for USCIS adjudicators to review and approve the plan.
Unlike other companies that rely on incentives to attract attorneys, we are recommended because of the results we bring to the table. Attorneys and their clients trust us to deliver EB-5 business plans that align with USCIS standards, increasing the likelihood of approval.
Final Thoughts
Matter of Ho is more than a legal precedent—it’s the foundation for crafting a winning EB-5 business plan. By focusing on comprehensive detail and credibility, your business plan can meet USCIS standards and demonstrate the feasibility of your investment.
Contact us today to ensure your EB-5 business plan meets the Matter of Ho standards and gives you the best chance of success.
Contact us today to get started
The information provided in this blog is intended solely for informational purposes. While we strive to offer accurate and up-to-date content, it should not be considered legal advice. Immigration laws and regulations are subject to change, and individual circumstances can vary widely. For personalized guidance and legal advice regarding your specific immigration situation, we strongly recommend consulting with a qualified immigration attorney who can provide you with tailored assistance and ensure compliance with current laws and regulations.
Visa Business Plans is led by Marco Scanu, a certified coach from the University of Miami with a globally-based practice coaching Fortune 1000 company executives, entrepreneurs, as well as professionals in four different continents. Mr. Scanu advises clients on turnaround strategies and crisis management.
Mr. Scanu received a bachelor’s degree in Business Administration (Cum Laude) from the University of Florida and an MBA in Management from Bocconi University in Milan, Italy. Mr. Scanu was also a Visiting Scholar at Michigan State University under the prestigious H. Humphrey Fellowship (Fulbright program) with a focus on Entrepreneurship, Venture Capital, and high-growth enterprises.
At present, Mr. Scanu is the managing partner and CEO at Visa Business Plans, a Miami-based boutique consulting firm providing attorneys and investors with business planning services in the areas of U.S. and Canadian immigration, SBA loans, and others.
If you are looking for any of the following, we can help you!
EB-5 Visa Business Plans
EB5 Business Plans
L1A Business Plans
L Visa Business Plans
L-1 Visa Business Plans
E2 Business Plans
E2 Visa Business Plans
E1 Business Plans
E1 Visa Business Plans
Business Plan for Investor Visa
Business Plans for Immigration
Business Plan for Visa Application
Market Analysis
Feasibility Studies
Investor Visas Business Plans
NIW Business Plans
NIW Personal Endeavor Plan
NIW Personal Statement
EB-2 Visa Business Plans
Visa Business Plans
[26].png)
[36].png)
[45].png)