Investor & fund types · Working

Accredited investor

Also called: accredited investor status

ELI5

An investor legally eligible for some private offerings.

Used in conversation

“Accredited-investor rules are jurisdiction-specific and should be checked with counsel.”

Definition

A person or entity meeting jurisdiction-specific criteria that allow participation in certain exempt securities offerings.

Here “Accredited investor” means: A person or entity meeting jurisdiction-specific criteria that allow participation in certain exempt securities offerings.

Pitch context

You will see “Accredited investor” in fundraising decks, data rooms, term sheets and investor conversations when the discussion reaches investor & fund types.

Why it matters: In investor & fund types, a loose definition can change rights, obligations, approval, disclosure or enforceability.

Caution

Meaning, enforceability and required process vary by jurisdiction and agreement; this definition is not legal advice.

Sources & evidence · 6

Direct term-level sources and supporting source families.