Ways to invest

Individual

To invest with CoNest as an individual, you must meet SEC-accredited investor criteria. Investments are held in your name, providing direct ownership.

Use your full legal name when creating your account and during verification with Verify Investor.

At the end of each tax year, you’ll receive a Schedule K-1 in your legal name for reporting income, deductions, and credits on your tax return.

Entity

Entities such as LLCs, S-corps, or C-corps can invest with CoNest, provided they meet accredited investor standards. This approach offers added liability protection, as the entity itself holds the investment rather than you personally.

For sole-owned entities, the owner must verify their accredited status as an individual. If the entity has multiple owners, each must demonstrate they meet the accredited investor requirements, either individually or jointly with a spouse.

Each entity shareholder must have their own account and complete the accredited investor verification process separately. Only one shareholder can invest per account.

At the close of each tax year, the entity will receive a Schedule K-1 for use in filing its income tax returns.

Trust

Trusts, including living revocable and irrevocable trusts, can invest with CoNest provided they meet accredited investor requirements. In this structure, the trust acts as the investor, not you individually.

A key advantage of using a trust is that assets held within it bypass the probate process when transferred to beneficiaries. Trusts may also qualify for additional tax benefits.

If you are the settlor (creator) of the trust, you must verify your accredited investor status under the individual requirements. For trusts with multiple settlors, each settlor must demonstrate they meet the accredited investor criteria, either individually or jointly with a spouse.

At the end of each tax year, the trust will receive a Schedule K-1 for use in filing its income tax returns.

Retirement account

You can invest through your retirement account, such as a Self-Directed Solo 401(k), IRA LLC Single-Member, or IRA LLC Multi-Member, provided you meet accredited investor requirements. In this case, the retirement account acts as the investor, not you individually.

Investing through a retirement account offers additional tax advantages. However, certain retirement accounts may require the investment property to generate passive income for at least one year or involve a custodian-managed account. For this reason, CoNest only accepts the three specified account types.

Each property can allocate up to 25% of its total raise to retirement account investments. Our platform automatically tracks and calculates the available retirement funds for each deal, simplifying the process for investors.

When creating your account and completing the accredited investor verification through Verify Investor, you must use your full legal name.

At the end of each tax year, you will receive a Schedule K-1 for use in filing your income tax returns.

Fund

CoNest welcomes fund companies to participate in our deal-by-deal investment opportunities. When investing as a fund, the fund entity itself becomes the investor, holding an ownership stake in the property.

To proceed, use the fund’s name when creating your CoNest account. All investors within the fund must meet accredited investor requirements for the fund to qualify for our syndication deals.

Once an investment is finalized, CoNest distributes proceeds to the fund account holder, who is then responsible for allocating funds to the individual investors within the fund.

At the end of each fiscal year, the fund will receive a Schedule K-1 for use in filing its income tax returns.