The information contained on this page has been compiled, as of its date of publication, with considerable care to ensure investors are informed. The purpose of this page is to provide you with general information about qualified investors residing in the U.S.
The information provided should not be considered as investment or other advice or a recommendation to buy, sell, or hold a particular investment. No representation or warranty, express or implied, is made to the accuracy or completeness of the information.
OurCrowd’s platform is currently set up to accept members with a “Qualified”, “Accredited”, “Sophisticated”, or “Professional” accreditation status in their country of residence. What are the criteria, and what actions are required on your part? We have a general answer for you below. Please note: for specific questions about the qualifications of your investor status, contact OurCrowd.
Why must I be accredited or be a qualified investor?
Early stage, privately-held companies are high-risk investments, and therefore many countries require individuals to meet certain financial criteria before being allowed to participate in these investments.
What are the overall criteria of qualification/accreditation?
OurCrowd follows the rules of your country of residence – the one in which you pay taxes. These rules vary country by country, but many address the following two questions:
- What are the criteria to qualify as a Qualified/Accredited investor, e.g., what is the minimum level of income and/or net worth, and the knowledge and experience investors need to meet in order to participate in certain types of investments?
- What proof do investors have to give in order to proof they meet these criteria?
🇺🇸 Criteria of accreditation for U.S. investors only:
In the United States, to be an accredited investor, one must have:
- An annual income of $200,000 ($300,000 if filing joint) for the last two years with an expectation that their income level will continue;
- Or a net worth, not including primary residence, of $1,000,000 in order to invest in early-stage companies.
🇺🇸 Paperwork for U.S. investors:
U.S. investors self-certify that they meet the above criteria when joining OurCrowd. This grants them full access to OurCrowd’s site. However, making an investment requires additional verification of a U.S. investor’s accredited status. Upon an investor’s first commitment to invest in a company, OurCrowd will provide a checklist and letter for the investor to have signed by one of the following professionals to verify their accredited status:
• A registered broker-dealer
• A registered investment adviser
• A licensed attorney in good standing, or
• A registered CPA in good standing
Please note that this not an OurCrowd-only requirement. Every company that offers these types of investments must have a letter on file from each investor who makes an investment after September 23, 2013.
The letter is valid for a year. In order to make further investments, you must get another letter from one of the professionals listed above to certify that you still meet the U.S. Government requirements. This third-party verification is the result of regulatory changes that came into effect on September 23rd, 2013.
For more information: If you have any questions about the accreditation process, don’t hesitate to contact us for guidance.