Before starting, see the preceding section to make sure you qualify as an accredited investor. Note that there is no one "process" to follow in verification – sites themselves must verify your status before letting you invest. There are three methods that can normally be used to demonstrate that you are an accredited investor:
1. Direct proof of net worth
If you have assets exceeding $1M in value, you can provide the following documents to verify directly:
-Bank or brokerage account statements
-Documentation of vacation or investment property (primary residence is not considered)
-Business ownership documentation (must include tax filings and operating agreement)
2. Direct proof of income
The following items may be used to verify income of $200k or $300k directly:
-Most recent W2, 1099, or K1 forms (pay stubs or employment letters are not sufficient)
-Tax returns
3. Third-party verification
Certain third parties may also be used to verify either assets or income. Common examples include:
-Registered broker-dealers or investment advisors
-Independent appraisers
-Personal accountant
-Lawyer
