Frequently Asked Questions

To be an accredited investor, a person must have an annual income exceeding $200,000 ($300,000 for joint income) for the last two years  with the expectation of earning the same or a higher income in the  current year. 

A person is also considered an accredited investor if they have a net worth exceeding $1 million, either individually or jointly with their spouse.

We present private offerings, open to accredited and qualified investors only. 

Our minimum requirement is $25,000. 

Investors are Members of a fund (organized as an LLC) that purchases a specific company's Shares or economic interests in shares. Most funds we introduce will have a manager that will establish a Series of Interests for the purpose of making a separate and distinct investment in a specific company or companies identified by the Manager; purchasing securities in such company or companies from secondary sources (directly or through forward purchase contracts); or investing in interests of investment funds, special purpose vehicles and other entities (including investment funds and other entities affiliated with the Manager or its affiliates) whose investment portfolios are comprised of one or more companies consistent with the Fund's general investment focus. Each Series will remain segregated from each other Series.

Most funds paperwork is similar to that of any fund investment, but  simpler. An investor would sign a Subscription Agreement, through which  they would purchase an interest in the fund (company). In addition, an investor would also complete a W-9 (W-8 BEN for foreign investors) and  Suitability form once. Investors would receive a  Schedule K-1 after any liquidity event on their investment(s). All legal and  financial documents are prepared with the involvement of outside counsel  or accountants, as applicable. 

You will receive updates on any material impact indicating new valuations.  From company news, new funding rounds, to secondary transactions.

We cannot guarantee an exit nor a timeline for any of your holdings.  However, the majority of investment opportunities are companies who have received institutional financing and have a typical investment horizon of 1-5 years. 

Yes, we accommodate investments from self-directed IRAs through our affiliate Midland Trust.

The industry uses the last round of financing and expected IPO range as a  pricing guidepost. Other factors may include investor demand, access to  the company, other secondary transactions that have occurred and publicly available information. 

Selling shareholders are current former employees, early investors, and advisors. They are typically selling only a portion of their holdings in order to 1) cover costs associated with exercising and paying taxes on the remainder of their shares 2) life events such as purchasing a home or preparing for a child and to 3) diversify their holds.

We have access to Pitchbook providing the company's prior round's valuations. Unfortunately, our network does not have access to the company's most recent financials, or their investor presentation. Our networks leverage the due diligence performed by the company's most recent investors and base our offerings on the price those investors paid.

Right of first refusal (ROFR or RFR) is a contractual right that gives  its holder the option to enter a business transaction with the owner of  something, according to specified terms, before the owner is entitled to  enter into that transaction with a third party. In short, the Right of  First Refusal is the company’s right to purchase the shares from the  shareholder on the same terms as a third parties bid. The company has up  to 30 days to make the decision upon a third party submitting a Bona  Fide Offer via a Transfer Notice (they may also waive their right, in  which case we can proceed immediately). 

We will register and help transfer your shares to your account.  If you don't have a brokerage account, we can assist you with opening an account at Retired Capital LLC (our partner) and deposit your shares with their custodian, Charles Schwab.  If the shares are subject to a lock-up period (typically 180 days), we would facilitate the transfer after this period. 

We cannot guarantee an exit nor a timeline for any of your holdings. However, the majority of investment opportunities are companies who have received institutional financing and have a typical investment horizon of 2-5 years.

Yes, once the investment is fully closed you will receive a legal document serving a confirmation outlining the Series of participation and breakdown of your investment.

While our network views the membership interest as a long-term  commitment, it may be permissible to sell your interest if needed and  upon approval of the manager. We would be able to accommodate the  situation by working with you to find a replacement buyer in the fund.  Your LLC ownership is transferable, and we can market it to our investor base, but we cannot guarantee we’ll be able to find a buyer. 

K-1s will be issued for all investments in which one or more of the following scenarios occur:

• a company you invested in had a liquidity event that concluded in that calendar year.
• you sold a position in a particular Series that closed in that calendar year.
• you received cash or share distributions from an investment during that calendar year.

You will receive an email notification each time a K-1 is distributed to you.

Our company is currently experiencing significant growth, and as we continue to expand, there is a growing need for additional marketers. You can submit your resume here.