Do you know your investor status? Are you accredited, certified, or neither? Read below to find out your status!
(1) In calculating net worth for accredited investor status, an Investor shall not include his or her primary residence as an asset, nor shall an Investor include the indebtedness secured by his or her primary residence as a liability to the extent the indebtedness does not exceed the estimated fair market value of the Investor’s primary residence, but an Investor must include as a liability any indebtedness secured by his or her primary residence that was borrowed during the 60-day period before the closing date for the Investor’s subscription.
(2) In calculating net worth for certified investor status, an Investor shall include his or her primary residence as an asset and indebtedness secured by the primary residence shall be included as a liability.
(3) For both accredited investor and certified investor status, income levels must be met in each of the two most recent years and the Investor must have a reasonable expectation of reaching such income level in the current year.