Investors & solicitation rules

## What do investors look like on my cap table? Wefunder will aggregate all your investors to one Special Purpose Vehicle (SPV) on your cap table. This is industry standard. ## Does Wefunder bring any investors? You can choose whether to share your raise with Wefunder's ~100K accredited investors. Or limit it to investors you invite. If you do choose to share your deal with our investors, we will include you on our Explore page, and share your raise with our accredited investors by email. For more details on how we do this, see <a href="https://www.notion.so/wefunder/Private-Round-Marketing-for-Founders-1-2f94f7276bc68083a5e3c371c20a7fd0">here</a>. ## How does accreditation verification work for my Private Round? It depends on which Reg D exemption your Private Round is using: - **506(b)** is **soft accreditation**: the investor self-attests by checking an "I am accredited" box in the checkout flow. No separate verification is required. This is the default for Private Rounds on Wefunder. - **506(c)** requires **verified accreditation**: the investor has to prove they meet the standard via documentation (a CPA/attorney letter, recent tax returns, or an equivalent standard method). ## Can international investors participate in my Private Round? Yes. Regulation D allows international accredited investors. Wefunder can verify them through our standard process, which works in most countries. Requirements: - The investor must meet the **accredited investor standard** of the United States, or an equivalent standard in their home jurisdiction. Net worth, income, or professional certification (Series 7, 65, 82) all count. - For **506(c)**, that standard must be verified (not self-attested). For **506(b)**, the investor self-attests. - The investor must complete **identity verification** — same KYC flow as US investors. Foreign passports are accepted as primary ID. - Some jurisdictions have local rules that affect how the offering can be marketed to their residents. In practice: most Private Round founders end up with at least a handful of international accredited investors. It works. ## What restrictions are there on soliciting investments? Under Regulation D 506(b), you are not allowed to generally solicit investments. You should have a "pre-existing, substantive relationship" with investors (for more info, see the SEC website here). You should definitely not share about your fundraise on social media, or run paid ads that link to your Wefunder page, etc. Investors must be accredited (see here). If you're unsure, best to consult your lawyer.