Private placement laws and regulations clearly require that non-public offering shall not raise funds from units or individuals other than qualified investors, and shall not be promoted to unspecified objects through newspapers, radio stations, television stations, the Internet and other public media or lectures, reports and analysis meetings.
This regulation directly stipulates that private equity funds cannot be publicized publicly, and can only show your products and previous product performance for specific target groups. In addition, China Fund Association has strict requirements for qualified investors.
The requirements for qualified investors are: qualified investors of private equity funds refer to units and individuals with corresponding risk identification ability and risk-taking ability, and the investment amount of a single private equity fund is not less than 6,543,800 yuan and meets the following relevant standards:
(1) Its net assets are not less than 6,543,800 yuan;
(2) Individuals whose financial assets are not less than 3 million yuan or whose average annual income in the last three years is not less than 500,000 yuan.
The financial assets mentioned in the preceding paragraph include bank deposits, stocks, bonds, fund shares, asset management plans, bank wealth management products, trust plans, insurance products, futures rights and interests, etc.
? The following investors are regarded as qualified investors:
(1) Social security funds, enterprise annuities and other pension funds, charitable funds and other social welfare funds;
(2) An investment plan established according to law and filed with the fund industry association;
(3) Private equity fund managers who invest in the private equity funds managed by them and their employees;
(4) Other investors as stipulated by the China Securities Regulatory Commission.
In the form of partnership, contract and other unincorporated persons, if the funds of most investors are pooled to directly or indirectly invest in private equity funds, the private equity fund manager or private equity fund sales organization shall thoroughly check whether the final investor is a qualified investor and calculate the number of investors in a consolidated manner. However, if investors who meet the requirements in Items (1), (2) and (4) of this article invest in private equity funds, it is no longer necessary to check whether the final investors are qualified investors and calculate the number of investors together.
Therefore, in addition to employees within the company, other investors must also meet this requirement in order to invest in private equity products.
At present, large-scale well-known private equity funds rely on the accumulation of previous performance and asset scale to improve their popularity. Without publicity, investors come to invest. Small-scale private placement is more difficult, and small and unknown is the pain point. Generally speaking, it starts from the boss's circle of friends, and some rich employees recommend slowly making the scale up and then making the net product value up. After the private equity circle has a certain popularity, it will be much easier to carry out business.
Therefore, the natural threshold of private placement will shut many people out, so be patient!