H1B vs EB5 Visa: Choosing the Right Path to U.S. Opportunities

The debate around H1B vs EB5 visa options draws sharp attention from professionals eyeing long-term prospects in the United States. Both pathways promise access to American innovation hubs and career growth, yet they diverge in purpose, requirements, and outcomes. Are you confused about finding the right visa between H1B vs EB5 to study or work abroad? This blog brings you a detailed comparison between H1B vs EB5 visas, their duration, application, and more!

What Are H-1B and EB-5?

Before diving deeper, let’s clarify the fundamentals. The H-1B visa targets skilled professionals, while the EB-5 visa focuses on economic contributors through investment. This overview sets the stage for targeted comparisons.

H-1B Visa Overview

The H-1B visa lets U.S. employers hire foreign experts in fields like IT, engineering, or medicine. It’s ideal for Indians in tech, where demand drives 70%+ approvals. However, the 2025 $100,000 fee for new external applicants has raised barriers, pushing many toward alternatives.

• Pros: Quick entry for qualified jobs; dual intent allows Green Card pursuit.
• Cons: Lottery odds (~35% in FY2026), employer dependency, and backlogs.

EB-5 Visa Overview

EB-5 grants permanent residency to investors creating U.S. jobs. Updated in 2022, it prioritizes rural/high-unemployment projects with faster processing. Indians led EB-5 filings in 2019 and remain the top applicants.

• Pros: Family-inclusive Green Cards; no employer tie; work/study freedom.
• Cons: High investment; 2-year job creation proof required.

H1B vs EB5 Visa: A Quick Comparison

When weighing H1B vs EB5 visa choices, contrasts emerge in accessibility, financial stakes, and lifestyle implications. The H1B demands skills and luck in a lottery, while EB5 requires capital but delivers independence. Both lead to green cards, yet timelines and risks differ sharply.

The key difference between an H1B visa holder and an EB5 visa holder is provided below. The table will give you a quick overview.

S.No	Feature	H-1B Visa	EB-5 Visa
1	Type	Non-immigrant (temporary work visa)	Immigrant (permanent residency path)
2	Eligibility	Skilled workers with a U.S. job offer	Foreign investors investing in U.S. businesses
3	Investment Requirement	None	$800,000–$1,050,000 (based on location and project type)
4	Job Offer Needed	Yes, from a U.S. employer	No (self-investment permitted)
5	Green Card Path	Possible, via employer sponsorship	Direct path to a Green Card
6	Duration	3 years, extendable up to 6 years	2-year conditional Green Card, then permanent
7	Quota/Cap	Yes (85,000 annually, with lottery)	No fixed cap (within EB categories)
8	Dependents	H-4 Visa for spouse and children	Spouse and children receive Green Cards
9	Spouse Work Authorisation	Limited (requires separate approval)	Yes, automatically granted
10	Processing Time	Several months, depending on the lottery	1–3+ years; varies by country and project

Quick Read: Describe a Shop/Store You Often Visit: IELTS Speaking Topic

Eligibility and Requirements for H-1B and EB-5

Eligibility defines your fit. H-1B demands skills and sponsorship; EB-5 requires capital and job impact. Here’s how to qualify for each in the H1B vs EB5 visa debate.

H-1B Visa Requirements

Focus on proving your specialty role and employer need. No investment needed, but competition is fierce.

• Bachelor’s degree or equivalent in the field.
• Job offer where no U.S. worker is available; wage at least prevailing rate.
• Employer files LCA and I-129; lottery entry if capped.

For Indians, 2024 saw 207,000 approvals, but FY2025 lottery filled quickly with 336,153 registrations.

EB-5 Visa Requirements

Emphasize investment in a “new commercial enterprise” creating 10 full-time U.S. jobs (direct or indirect via regional centers).

• Invest USD 800,000 in TEA (rural/high-unemployment) or USD 1,050,000 standard.
• Prove lawful fund sources (e.g., savings, loans).
• File I-526E; rural projects get priority (median 13.5 months).

Risk: Green Card removal hinges on compliance; non-compliance risks denial.

Duration and Permanency

When it comes to H1B vs EB5 visa comparison, an EB5 visa provides an easy and direct means of receiving permanent residency. This is confirmed and secured by a green card. By ensuring one maintains their permanent residency status or applies for citizenship, a permanent residency or green card holder can always stay in the U.S without any restrictions.

On the other hand, the H1B visa is a provisional visa that is valid for 3 years. Even though it can be further extended for next three years, the migrant worker will not be allowed to reside in the United States, or may have to apply for a different status at the expiration of the maximum period of stay.

Visa Requirements

Both visas have separate requirements focused on different fields. While the H1B visas prioritize employment, the EB5 visas focus on investment. To help you find which one’s better between the H1B vs EB5 visa, we have listed down the visa requirements for both types:

H1B Visa	EB5 Visa
No U.S. applicant meets the requirements for this job right now.	The applicant must invest at least USD 900,000(INR 7.45 cr.) in a Targeted Employment Area.
The foreign employee will be receive more than the average salary for the occupation.	If this criterion is not met, the applicant must invest a minimum of USD 1.8 million in a new commercial business outside a Targeted Employment Area.
The applicant must be a graduate or have a higher degree.	A minimum of ten eligible employees must be hired in full-time positions, and these jobs must be maintained.
A degree is required to do this job.	EB5 visa investors may handle and oversee their investments independently.

The green card might be at risk if the applicants fail to comply with the requirements. 

Annual Quotas

U.S. Citizenship and Immigration Services enforces yearly numerical limits on both the EB-5 and H-1B visa categories. The H-1B route offers 85,000 approvals per fiscal year, including a dedicated quota of 20,000 slots for individuals who hold graduate degrees from U.S. institutions. Beginning in 2000, workers renewing or returning under H-1B status were excluded from this yearly limit during periods of elevated demand for international tech talent. Professionals from India represent close to 75% of all petitions in the H-1B applicant pool.

A key distinction in the comparison between H-1B and EB-5 visas is that the EB‑5 Immigrant Investor Program grants 700 visas per country annually. The limit is based on the applicant’s country of birth, not their current citizenship. In recent years, interest in EB-5 has surged in India, and in 2019, India recorded the highest number of EB-5 applications worldwide, surpassing its annual allocation for the first time.

Family

When comparing the H-1B and EB-5 visa pathways, one key advantage of the EB-5 program is that a single qualifying investment applies to the whole immediate family. A successful EB-5 application can result in permanent resident status being granted to the primary investor, their husband or wife, as well as unmarried sons or daughters who are younger than 21. For professionals holding an H-1B visa, family members may relocate to the U.S. under the H-4 dependent category.

Unlike EB-5, employment rights for H-4 partners are not automatic — work permission may be requested only if specific criteria are met. Historically, eligibility included cases where the H-1B visa holder’s partner had an approved immigrant petition (Form I-140), or where the H-1B visa holder received an extension beyond the 6-year limit under the provisions of the AC21. The ability for certain H-4 partners to seek work permission through the Employment Authorization Document (EAD) process was introduced via the H‑4 EAD Rule, enforced by USCIS. Temporary work eligibility also referenced approved petitions under the AC21 Act and protections for extended H-1B status based on employer filings.

Work

The EB-5 program offers strong work advantages. Once an investor receives a U.S. Green Card through EB-5, they gain full independence to work, pursue education, start a company, retire, or live anywhere in the United States.

In contrast, the H-1B visa comes with tighter restrictions, particularly around job flexibility. A key constraint is that if an H-1B holder loses their employment, they must leave the U.S. unless a new eligible American employer submits a transfer petition on their behalf.

Politics

In U.S. politics, the EB-5 and H-1B visa programs are perceived very differently. The EB-5 program is often positioned as a driver of economic growth due to its role in generating large-scale foreign investment and enabling job creation in the U.S. In contrast, the H-1B visa is frequently framed in public debate as a challenge to domestic employment. This contrast has shaped political responses, including policy moves where the EB-5 track remains outside major restrictions, while the H-1B program has faced sustained scrutiny.

Debate around H-1B reforms has persisted for years, with expectations that future leadership could further tighten eligibility and approval norms. In recent election discussions, both major candidates have signaled support for stronger controls—the key variation lies in how fast and how broadly such measures may unfold.

H1B vs EB5: Visa Alternatives

A strong substitute for the H-1B work visa is the L-1 intracompany transfer visa. The L-1 visa does not have a yearly quota limit, making it free from the annual cap restrictions that affect the H-1B process. This visa allows companies to relocate employees who hold executive roles, managerial positions, or possess specialised expertise from an overseas branch to a related business entity in the United States. The U.S. company must be part of the same organisation or a qualified affiliated structure.

Additionally, the L-1 visa can be used to launch and oversee a new U.S. office. In this case, an applicant may move to the United States specifically to lead operations and manage the newly established location.

For individuals considering an alternative to the EB-5 permanent investor visa, the E-2 Treaty Investor visa is one of the most relevant options. Unlike EB-5, the E-2 route demands a significantly lower minimum investment and also has no annual quota restrictions. However, it does not provide permanent residency. Instead, it grants temporary status that can be extended indefinitely through renewals, as long as the investment enterprise remains active and meets visa conditions.

Since India does not currently have a treaty agreement with the U.S. under the E-2 category, Indian applicants must first secure citizenship in a treaty-eligible country through a third-party nationality program. This process has proven to be uncomplicated and widely successful for Indian investors, with many applications receiving approval.

Can You Apply for an EB-5 Visa while Holding an H-1B Visa?

You may send several applications to the United States Citizenship and Immigration Services at once if your H-1B visa is active and in good standing (USCIS). As a result, you can participate in the EB-5 programme while working in the US without having to give up your H-1B visa or any ongoing green card applications. All you need to do is hold onto your H-1B status until the USCIS approves the I-526, Immigrant Petition by Alien Investor, and I-485, Application to Register Permanent Residence or Adjust Status, the two EB-5 applications you submitted.

The H-1B visa supports dual purposes, even if it is a non-immigrant visa type. “Dual intent” basically indicates that you are likely going to apply for an immigrant visa later on and will be permitted to do so even if you entered the country on a non-immigrant visa. Contrarily, non-immigrant visas, such as tourist visas, for instance, are sometimes granted with the condition that the applicant or visa holder has no desire to stay in the United States. Those who are accused of disobeying this provision may have their entrance denied or face deportation.

5 Advantages for Current H-1B visa Holders for Applying for the EB-5 visa

There are several advantages to applying for an E-B5 visa while you are holding an H1-B visa.  Generally, an EB-5 is considered a better alternative. The reasons for this are provided below:

Get Independent from employers 

Generally, Indian nationals holding an H1-B visa or other work visa depend on their visa to work and live in the country. They have extended waiting periods (sometimes even 20-30 years) to get a Green Card. In contrast, the EB-5 visa allows you to get a visa in 2-4 years!

Get Higher Salaries 

The H1B vs EB5 Visa main difference is salary. H1-B visa-sponsoring employers are limited, and the number of visas they sponsor is also limited. Therefore, the employees are unable to get the salary they truly deserve. For example, they have to decline promotions. Once you get a green card under an EB-5 visa, your work opportunities expand. You can negotiate higher wages.

Flexibility for Family

H1-B visa holders have limitations when it comes to sponsoring family members. EB-5 investors can get green cards for their spouses and children under the age of 21.  Once a child turns 21, usually ( dependent of an H1-B visa holder) will have to get their own visa to stay in the country. This is not true for EB-5.

No 60-Day Timelines

If an H1-B visa holder is a part of a company lay-off, they have to find another job that sponsors their visa within 60 days or leave the USA. On the other hand, EB-5 visa holders do not have to face such restrictions.

Freedom of Entering and Exiting the USA

H1-B visa holders do not have the same freedom as EB-5 visa holders. For example, a lot of the H1-B visa holders, when they visited their families during the pandemic, got stuck in their home country or other countries as the consulates shut down. EB-5 visa holders do not face such restrictions. They can freely enter or exit the USA.

Also Read: Visa Options in the US After Graduation: Complete Guide

Overall, the distinctions between H-1B and EB-5 are substantial in terms of how they affect the life and future of the visa holder. While the H-1B visa can offer a temporary answer for legitimate employment status in the United States, it offers minimal chances for sustainability. If you already have an H-1B visa and want to take charge of your future, you might want to find out more about how to get a permanent EB-5 visa for you and your family. It is possible to apply for an EB-5 visa during the H-1B term, and permanent residency opens up a world of possibilities.

FAQs

Related Articles:

A Comprehensive Guide to Types of US Visas	What is US Work Visa?
What is US Visitor Visa?	H1B USA Visa: Journey Simplified
Checklist of Work Visa USA	8 Documentation Requirements for an F1 Visa

Hence, we hope that this blog cleared up your confusion regarding the right visa between H1B vs EB5 Visa for studying or working abroad! Planning to pursue higher education abroad? Our Leverage Edu experts and head coaches are here to lend you a helping hand in sorting out the admission process of your chosen course and university and ensuring that you get successfully shortlisted! Sign up for a free session with us now!