Can you market or have conversations with potential investors before there is a PPM?
Your disclosure document must be drafted before you can take in money from investors. I like the investors to have held the PPM for at least one week, preferably two before investing. Assuming a raise pursuant to Regulation D Rule 506(c), you can market in the public and have conversations with investors without a PPM.
A PPM is technically required only if you sell securities to non-accredited investors.
Before you go to market. Once the investor likes your deck, basically the next thing the investor gets is the PPM. I don't want to put too fine a point on it, but investors will think you're an amateur if they express interest and your PPM isn't ready yet.
DISCLAIMER:the information found on this website is intended to be general information; it is not legal or financial advice. Specific legal or financial advice can only be given by a licensed professional with full knowledge of all the facts and circumstances of your particular situation. You should seek consultation with legal and financial experts prior to participating in any aspect relating to Opportunity Zones. Posting a question on this website does not create an attorney-client relationship. All questions you post will be available to the public; do not include confidential information in your question.