Greetings You told me that you are seeking investors for your company. These types of investments are defined as "securities" in federal and state laws. In general, all securities must be registered with both the federal and state governments before being offered to the public. There are certain exemptions. The most common exemption is called a "private placement exemption". There are several varieties. The most widely used is "Regulation D, Rule 506b" https://fiuclinic.org/client-education/securities-regulation-d.html To use this investment you must create a "private placement memorandum" (PPM) that fully describes what is being offered and disclosing all known investment risks. Here are two articles on this topic article one https://fiuclinic.org/client-education/securities-PPM.html article two https://fiuclinic.org/client-education/securities-exemptions-offering-memorandum.html Based on what you've told me it is much too early to begin approaching investors. You don't even yet know the mechanism that you will be using to give the investor a stake in the company There are innumerable options to choose from. For example, you could create (or convert to) a corporation and then issue a special class of preferred stock or common stock for the investor having specified rights with regard preferrences in distributions, liquidation, seats on the board of directors, management, etc. Or perhaps you want to structure your company as an LLC and then make the investor a "member" with his or her rights spelled out in the "Operating Agreement". An essential first step MUST be the creation of a detailed and meaningfull business plan that addresses all of these issues and more. Only after doing that would you be able to create the PPM. Our firm will not prepare the PPM for you