Get On My Accredited Passive Investor's List

For current & new projects

First in line

Opportunity

Proven Track Record

Cashflow

Can an LLC Be an Accredited Investor?

By Vinney Chopra

May 3, 2023


No, an LLC (Limited Liability Company) cannot be an accredited investor in and of itself. Accredited investor status is granted to individuals, not business entities, such as LLCs. However, an individual who owns an LLC can qualify as an accredited investor if they meet the income or net worth requirements outlined by the Securities and Exchange Commission (SEC).

To qualify as an accredited investor, an individual must meet one of the following criteria:

  1. Have an individual income of more than $200,000 per year, or a joint income of more than $300,000 per year, for the last two years, and expect to reasonably maintain the same level of income in the current year.
  2. Have a net worth exceeding $1 million, either individually or jointly with their spouse, excluding the value of their primary residence.
  3. Is a “knowledgeable employee” of certain investment funds or holds a valid Series 7, 65 or 82 license.

So, while an LLC cannot be an accredited investor in and of itself, an individual who owns an LLC may qualify as an accredited investor if they meet the income or net worth requirements outlined by the SEC.

{"email":"Email address invalid","url":"Website address invalid","required":"Required field missing"}
>