---
title: Why are investors asked for details on company ownership when answering Canadian accredited investor related questions?
description: The DealMaker question flow is built to ensure that those wanting to rely on a specific exemption, can. What the above line of questioning is honing in on is those that are relying on the (t) definiti
---

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# Why are investors asked for details on company ownership when answering Canadian accredited investor related questions?

The DealMaker question flow is built to ensure that those wanting to rely on a specific exemption, can. What the above line of questioning is honing in on is those that are relying on the (t) definition of an accredited investor.

When a person is relying on this exemption, all owners are required to be accredited investors (aside from holders of voting securities required by law for directors). 

The Canada Business Corporations Act notes that owners are those with a 25% or more ownership of voting rights attached to the company's outstanding voting shares or those that hold equal to 25% or more of the company’s outstanding shares.

By identifying those that have this holding, and that they are accredited investors, ensures the reliance on this exemption has been properly identified by the company.

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