What is a private issuance?

Private issuances on addy are invite-only and controlled by the issuer. Issuers may use addy to facilitate private issuances in order to reduce operational overhead and simplify their capital raise process.

A private issuance on addy refers to a real estate investment offering that is not made available to the general public but rather to a select group of accredited investors, family or friends. This type of issuance typically has more restrictive criteria for participation and may involve larger minimum investment amounts compared to public offerings on the platform, which are always $1. This minimum investment is set by the issuer.

Key characteristics of private issuances on addy might include:

  1. Limited Access: Only available to a specific group of investors, such as accredited investors or family members.
  2. Higher Minimum Investments: Usually requires a larger initial investment compared to addy's public offerings.
  3. Exclusive Opportunities: These might be high-value or unique investment opportunities not available to the general public.
  4. Regulatory Compliance: Must comply with specific regulatory requirements for private placements, which may vary depending on the jurisdiction.

What exemption types are available for private issuances?

A Private issuance on addy can rely on the 45-106 accredited investor exemption without the need to involve an Exempt Market Dealer (EMD) or the 45-106 Offering Memorandum Exemption with an EMD or the 45-110 Crowdfunding Exemption with an EMD.

 

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