IN THIS GUIDE · Using owned machinery as part of the qualifying EB-5 capital
Start with the EB-5 eligibility and application overview
Machinery can be capital — the amount does not change
The qualifying amount is US$1,050,000, or US$800,000 where the project sits in a qualifying targeted employment area or infrastructure category. Contributing equipment does not alter those figures; it only changes how you prove you met them. Statutory adjustments begin January 1, 2027, so confirm the figure that applies on the date you actually file rather than today's. Hypothetical example: a maker of fungal growing substrates contributes sterilization equipment bought from a former division. The decision is whether independent value, title history, and the transaction documents demonstrate the claimed capital without circular pricing.
Fair value, not the number on your books
Depreciated book value, an insurance figure and a dealer's trade-in offer are three different numbers, and none of them is automatically the right one. Support the value with an independent appraisal of the specific units, original purchase invoices, maintenance history and any recent comparable sales. An unsupported increase to reach the threshold can undermine the claimed contribution and the credibility of the evidence. Choose the appraisal date and methodology deliberately, then retain the records allowing a reviewer to test both. A valuation that cannot identify serial numbers, condition, or comparable transactions may settle nothing important.
Lawful source runs back through the asset
An equipment contribution requires evidence of the asset’s lawful acquisition as well as its transfer. You show how the machines were bought, with what money, and how that money was lawfully earned or received, then how ownership passed to the new commercial enterprise. Prescribed historical tax records may be required. A gift of equipment is permitted where its source is lawful, and a sale between related parties is not prohibited outright. Map each asset back through purchase, financing, income, gift, or sale records before preparing the transfer documents. Capital must remain exposed to risk for the purpose of generating a return; a guaranteed repayment arrangement may defeat that characterization.
The machines still have to build ten jobs
Each investor must account for at least ten qualifying full-time positions, and the investor, spouse and children cannot be counted among them. Permitted counting methods differ between a standalone direct case and a regional center case. Capital must sit genuinely at risk, and you must engage through day-to-day management or policy formulation — a purely passive financial stake in the machinery is not enough. If the process ultimately leads to resident status, that residence is conditional at first. The later petition to remove conditions requires proof that the investment was sustained and the applicable employment-creation requirements were met.
Conditional residence, the household, and removing conditions
EB-5 preparation should identify the investor’s genuine management or policy role instead of assuming daily supervision is always required or that holding an investment means no participation obligation exists. Records should be organized early because the removal-of-conditions request is generally filed in the 90-day period immediately before the second anniversary of obtaining conditional residence.
Sources reviewed 2026-09-07. This guide covers a preparation focus; it is not an individual eligibility assessment.