How To Become An Accredited Investor

Crowdfunder allows individuals and firms the ability to easily invest in a diversified selections of Deals alongside top Venture Capital firms. We want to empower the everyday investor to have a stake in a company that they are passionate about.

Verify your investor status on Crowdfunder and get access to high-growth startups and invest with top VCs.


What is an accredited investor?
How can I verify I am an Accredited Investor on Crowdfunder?
Once I am a verified Accredited Investor, how do I invest in Deals?
What are the benefits of being an Accredited Investor on Crowdfunder?
Can a non U.S. citizen invest in companies on Crowdfunder?
Does self-verifying on Crowdfunder mean that I have proven my accreditation status?
Do I have to be accredited to invest in Deals on Crowdfunder?
Do actual investments and transactions happen on Crowdfunder?
What is a syndicate or Special Purpose Vehicle?
Does Crowdfunder require investors to invest via a syndicate or SPV?
Does Crowdfunder do diligence on Deals that are fundraising?
Now that Title III and Title IV have passed, what are the implications?
Can I make an investment under the minimum of the Deal?
How do I complete my profile to start investing in Deals?
How do I connect with the founder of a specific Deal?
What happens once I “Follow” a company?
Is my reservation on Crowdfunder binding?
How do I withdraw a reservation from a deal?


What is an accredited investor?

To be an accredited investor, you must meet a certain level of wealth defined by the SEC. For example, a person having at least $1 Million in assets excluding their main residence, or an income greater than $200,000 ($300,000 if filing jointly) in each of the past 2 years, would qualify. If you meet the SEC criteria, verify your Accredited Investor status now to get access to Investment Deals on Crowdfunder. You can read more here.


How can I verify that I am an Accredited Investor on Crowdfunder?

If you are an Accredited Investor, simply login and click the following link. From there, check the “I’m an Accredited Investor” box, which will then allow you to fill out a questionnaire to verify your accredited status on Crowdfunder.


Once I am a verified Accredited Investor, how do I invest in Deals?

Once you’re a verified Accredited Investor, you can browse companies and choose to invest in the deals that fit your investor profile. Once you’ve chosen a Deal to invest in, simply click the “I’m Interested” button and from there you can make a reservation into that deal.


What are the benefits of being an Accredited Investor on Crowdfunder?

As an Accredited Investor on Crowdfunder, you gain exclusive access to top Deals. You will be able to invest alongside celebrity investors like Mark Cuban, Tim Draper and Jerry West, as well as institutions like 500 Startups, Andreessen Horowitz and Y Combinator. We provide a self-served, consolidated platform for you to review the terms of a Deal, download investment docs, and connect with founders online.

Deals on Crowdfunder also lower their minimum investment to allow prospective investors the opportunity to invest smaller amounts of capital in more companies to expand your portfolio.


Can a non U.S. citizen invest in companies on Crowdfunder?

Yes, as long as the country they are from permits it. Ultimately, it is up to the discretion of the entrepreneur whom they will allow to invest in their company.


Does self-verifying on Crowdfunder mean that I have proven my accreditation status?

No, companies that are generally soliciting their Deal, are responsible for properly documenting the reasonable steps they’ve taken to determine the investor is in fact accredited.


Do I have to be accredited to invest in Deals on Crowdfunder?

Recent legislation has gone into effect (Title III and Title IV of the JOBS Act) that allows for non-accredited investors to participate in equity-based Crowdfunding. However, a company has to have filed for a Title III or Title IV raise.


Do actual investments and transactions happen on Crowdfunder?

At this time, the actual transaction of wiring money does not happen on Crowdfunder. The closing of dollars will happen offline with the company.
Crowdfunder is a marketing and engagement tool for company Deal’s, with a growing crowd of accredited investors actively investing in Deals.


What is a syndicate or Special Purpose Vehicle?

A syndicate or Special Purpose Vehicle (SPV) also referred to as a Special Purpose Fund (SPF) or LLC, is a fund that is created to pool many smaller ticket investors together. This fund will then invest directly into a company as a single entity and single line on the company’s cap table.


Does Crowdfunder require investors to invest via a syndicate or SPV?

Crowdfunder does not require syndicates or organize syndicates for deals. Most deals on Crowdfunder are offering options to invest directly in the company.

There are some cases when a company will organize a syndicate to use for their Crowdfunder offering. Investors will be able to see the offering details in a company’s investment documents.


Does Crowdfunder do diligence on Deals that are fundraising?

Crowdfunder does not do any due diligence on deals that raise on the platform. Most deals, however, have a lead investor that has done diligence on the company ahead of making their investment.


Now that Title III and Title IV have passed, what are the implications?

Title IV has passed and been implemented, however, there are only a select handful of companies that will undergo the rigorous Title IV filing requirements to raise money from non-accredited investors.

Although Title III has passed, it will not be implemented until April/May of 2016.


Can I make an investment under the minimum of the Deal?

No, you cannot make an investment on the platform under the minimum amount in the Deal.


How do I complete my profile to start investing in Deals?

To complete your profile, you need to include a profile picture, location, professional headline and connect a social network (e.g. LinkedIn or Facebook). The more robust your investor profile is, the more likely the entrepreneur will accept your reservation.


How do I connect with the founder of a specific Deal?

You can either leave a comment on your reservation or you can message the founder via CrowdMail on Crowdfunder to ask any questions.


What happens once I “Follow” a company?

Once you’re following a company, you will receive notifications on their progress and status.


Is my reservation on Crowdfunder binding?

No, your reservation is non-binding but more of a show of interest.


How do I withdraw a reservation from a deal?

In order to withdraw a reservation from a deal, you will need to contact the founder and let them know you are no longer interested. Remember at this point it also is invaluable to give feedback to companies about why you choose to pass.


Please consult the Securities and Exchange Commission (www.sec.gov), FINRA (www.finra.org), and your attorney for more information prior to investing.

For more information about the investing on Crowdfunder be sure to read Top 5 Angel Investor Hacks and Startup Investing Guide