How much am I allowed to invest?
It's complicated. Thankfully, when you sign up for a Wefunder account, we'll do all these calculations for you.
The amount you are legally allowed to invest depends on which Regulation the company uses to fundraise.
For Regulation Crowdfunding offerings, Wefunder calculates your annual investment limit based on the net worth and income provided upon account opening. Investment limits are for every 12 month period. Every investment in a Regulation Crowdfunding offering counts towards the annual limit. We will not let you invest more than this amount. The SEC made it pretty complicated to calculate this number, but if you're curious:
Everyone can invest at least $2,200
If either your net worth or income is below $107k, you may legally invest a maximum of 5% of the lesser number.
If both your net worth and income are above $107k, you may legally invest a maximum of 10% of the lesser number.
No one may invest more than $107,000. Accredited investors are subject to the same investment limitations as everyone else, no matter how silly that is.
For Regulation A+ offerings, unaccredited investors can invest up to 10% of income or net worth per year, whichever is greater.
For Regulation D offerings, only accredited investors may invest, and they have no limits.