Recession makes US good place to invest

Despite the current recession felt by one of the world’s strongest economies, some still believe that now could be the best time to invest in the US, one of the world’s biggest markets while everything is at its lowest.

In an interview, California-based lawyer Rafael S. Climaco who recently held a seminar on immigration options to the United States said that now is the best opportune time to invest in the US despite the current recession because there is a lot of room for growth so once the economy settles back, those who could get in could be in a good position to do well in the market.

“Now, Federal interest rates are zero and prices are dropping like gas and food. In terms of credit, you have a chance to get good terms. During economic downturn, no one knows where the bottom is so it might be to the people’s advantage to come and invest in the US now,” said Climaco.

He explained that investing to the United States provides several benefits to entrepreneurs because it’s a path to gain US legal residence or citizenship and it can expand their business opportunities; they can also earn dollars and reinvest this into Philippine business thereby taking advantage of the exchange rate and greater purchasing power.

He said that US’ immigration system is petition-based, so most Filipinos who migrated there have been petitioned by family members, sponsors or employees and only a few go there as investors.

“It is part of our goal to urge Filipinos to start their own businesses in the US and foster the spirit of entrepreneurship to those who want to move to the US than just going their as employees or tourists,” he added.

Climaco said that there are several fields and industries that Filipino entrepreneurs can invest in the US right now such as food, nursing homes, pop and mom’s store, and other kinds of business ventures.

“There is lack of knowledge so we want to share this knowledge as not a lot of Filipinos know that this kind of path exists and that they can go to the US by being an entrepreneur,” he said.

Climaco discussed that there are three possible options that investors can choose to apply to become a businessman in the US and these include: Immigration Investor Visa also known as the employment-based fifth category (EB-5), E Treaty Trader or Investor Visas and the L Intracompany Transfer Visas.

He discussed that EB-5 or the Immigrant Investor Visa is the only visa that requires a minimum of $ 1, 000, 000 investment allowing applicants to “buy a green card” as it is a sure path to an immediate US permanent residency and citizenship but employers are required to employ at least ten full time employees.

The E-Visas on the other hand is subdivided into two tiers which include the E-1 Visa for treaty traders and the E-2 Visa for treaty investors which allows applicants to be engaged in self-employment, and may be allowed to remain in the US for an indefinite period of time.

E-1 Visa for treaty traders are available to businesses who wish to import or export goods and services to and from the Philippines while the E-2 Visa for treaty investors is available to those who wish to invest in an existing business in the US or begin a start-up business in the US which has a capital that is proportionate to the size and nature of the investment.

Meanwhile, the L-Visas include L-1A visa for executives and managers while L-1B visa for those with specialized knowledge or trade secrets of existing businesses in the Philippines who wish to do business in the US.

The immigration seminar which was held at the Waterfront Cebu City Hotel and Casino was organized by the Bernardo and Placido Law Office in Manila in partnership with the law office of Rafael S. Climaco based in San Francisco, California and it strived to make Filipinos aware about investment options in the US and clarify issues about immigration.

After Cebu, the same immigration seminar is scheduled to be held in other key cities in the country such as in Sta. Rosa in Laguna, Davao and Baguio. — Rhia de Pablo