Private Equity Interview Question:

Who can invest in a private stock offering?

Submitted by: Murtaza

Private placements must come from what the SEC terms an "accredited investor" but know for starters that accredited investors are generally wealthy individuals or organizations.
Example:
For a single person to be classified as an accredited investor, they must have a net worth of $1 million or a yearly income of $200,000. Trusts, banks, investment and insurance companies also qualify.
Submitted by: Murtaza