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Accredited Investors
Investment Limits Explained

Investment Limits Explained

Regardless of your income or net worth, anyone can invest $2,200, but no one can invest more than $107,000 in any 12-month period. This applies to accredited and non-accredited investors/entities alike.

Here’s how to figure out your maximum limit:

Option 1. If you earn less than $107,000 OR your net worth is less than $107,000, take the lower amount between the two and multiply it by 5%.

If that result is below $2,200, then your 12-month limit is $2,200. If that result is above $2,200, then your calculated result is your 12-month limit.

Eg.
If your net worth = $100,000
You earn an annual income = $500,000
Your max investment = $5,000 total across all Reg CF investments

Option 2. If you earn $107,000+ AND your net worth is $107,000+

You can invest 10% of your income OR net worth, whichever is lower.

Eg.
If your net worth = $107,000
You earn an annual income = $500,000
Your max investment = $10,700 total across all Reg CF investments

Don’t worry, NextSeed tracks all of your investments and your limits for you. You can adjust your self-reported income and net worth in your Account Center.

Here’s how to figure out the 12-month period:

The 12-month limit is not a calendar year (Jan. – Dec.). It’s a rolling 12-month period that starts when you make your first investment.

Your first investment is officially made when an offering successfully closes and the business receives funds, not when you make an investment reservation while a business is still accepting funds.

For instance, if your max limit is $3,000 and you invest on this schedule:

Deal A closes in February: $1,000 invested
Deal B closes in March: $1,000 invested
Deal C closes in April: $1,000 invested

Your limit opens up like this:

Next February: $1,000 frees up
Next March: $1,000 invested frees up
Next April: $1,000 frees up

Your investment limits apply to all your Regulation Crowdfunding investments across different platforms. NextSeed helps you track when your investment limits free up.