Can I invest in a startup I'm joining?

[gct]

Oregon

I'm joining a startup and I'd like to invest up front. The founders are open to the idea, but I'm not an accredited investor, nor will I be an officer or directory in the company. Is it still possible for me to invest?

[HomeGuru]

Originally Posted by gct

Oregon

I'm joining a startup and I'd like to invest up front. The founders are open to the idea, but I'm not an accredited investor, nor will I be an officer or directory in the company. Is it still possible for me to invest?

**A: yes, but be careful.

[gct]

Is there a specific exemption I should cite that would allow me to invest, and by "be careful" do you just mean be aware of the risks of investing in a startup in general or something more specific?

[HomeGuru]

Originally Posted by gct

Is there a specific exemption I should cite that would allow me to invest, and by "be careful" do you just mean be aware of the risks of investing in a startup in general or something more specific?

**A: first off, do the people selling the investment have securities licenses?

[gct]

I doubt it, I'm just buying the securities directly from the company.

[HomeGuru]

Originally Posted by gct

I doubt it, I'm just buying the securities directly from the company.

**A: then you'd be better off investing elsewhere.

[gct]

Thanks for that but I'm not really asking for opinions on the quality of the investment, just the legality of my investing. That's a pretty bold statement you made considering you know nothing about the company, what they're doing, the people involved, or other financial backing they've obtained.

[HomeGuru]

Originally Posted by gct

Thanks for that but I'm not really asking for opinions on the quality of the investment, just the legality of my investing. That's a pretty bold statement you made considering you know nothing about the company, what they're doing, the people involved, or other financial backing they've obtained.

**A: ok, then why don't you provide all the details and I'll see if my answer remains the same. On second thought, forget it. It's a scam.