An individual or institution that meets certain wealth criteria (as defined by regulators), and is therefore deemed to be sophisticated enough to participate in private, non-public investments. There are many ways to qualify, including if you are:
– An individual that has had income in excess of $200,000 per year in each of the prior two years, and reasonably expects the same for the current year
– A spousal couple that has had income in excess of $300,000 per year in each of the prior two years, and reasonably expects the same for the current year
– An individual or spousal couple with over $1,000,000 in net worth (excluding the value of their primary residence)- A charitable organization, corporation, partnership or trust with assets in excess of $5,000,000.
For the most up to date definitions see www.irs.gov and www.sec.gov