What is an accredited Investor?
An accredited investor is an individual that has an annual income of $200,000, or $300,000 combined with their spouse, for the past two consecutive years and be able to demonstrate that this income level will continue. An individual can also be considered an accredited investor if he or she has a net worth exceeding $1 million, either individually or jointly with their spouse minus their primary residence.
What is a sophisticated investor?
Is an individual that has, sufficient knowledge and experience in financial and business matters to evaluate the merits and risks of the prospective investment.
Why invest in real estate?
There are two main reasons to invest in real estate. The first one is your investment is backed by a tangible asset, unlike a stock traded in the stock market. The second main reason is the tax benefits you receive at the end of the year through depreciation, expenses write offs and a number of other ways.
What is a SEC lawyer?
Securities law is a specialized subdivision of business law. Securities lawyers deal with the law as it relates to the purchase and sale of stocks, bonds and other investments. Securities lawyers have to pass a bar examination to be licensed with the state.
What is a debt investor?
A debt investor is someone that wants a fixed return and payments on their investment. This is in the form of a loan and can be structured a number of different ways from interest only payments to principle and interest payments. This investment is for the investor that has low to medium risk tolerance and likes steady predictable returns.
What is a equity investor?
An equity investor, is someone that wants to be involved in the deal in some capacity. This investment can be a partnership or securities membership in a project. The investor has a claim on the earnings and or assets of the project/company. This investment is for the investor that has a higher risk tolerance as there is no guaranteed return and the investment is based of the success of the project. Can win big or lose it all.