Investor Onboarding Checklist for the Private Market

To help your fund stay on track, we’ve created a concise checklist of the essential documents you’ll need.

Investor Documents Required

Here’s a general list of what your fund will need to collect from both individual and entity investors. Keep in mind that compliance laws vary by region, so additional documents may be required depending on the jurisdiction.

For Individual Investors

Identification and Verification

• Government-issued ID (e.g., Passport, Driver’s License)
• Proof of address (e.g., Utility bill, Bank statement)
• KYC (Know Your Customer) form
• AML (Anti-Money Laundering) compliance form

Accreditation Verification

• Accredited Investor Certification
• Supporting documents (e.g., Tax returns, financial statements)

Tax Documentation

• W-9 form (for U.S. investors) or W-8BEN form (for non-U.S. investors)
• FATCA compliance form

Subscription Documents

• Signed Subscription Agreement
• Confirmation of receipt of the PPM (Private Placement Memorandum)

Banking Information

• Bank account details (e.g., Bank statement or voided check)
• Wire instructions

Legal Documentation

• Non-Disclosure Agreement (if required)
• Side Letter Agreements (if applicable)

Investor Questionnaire

• Completed Investor Questionnaire

ESG (Environmental, Social, and Governance) Compliance (if applicable)

• ESG Compliance Form

For Entities (Corporates and Institutions)

Company Information

• Business Registration Certificate
• Company Structure Diagram
• Certificate of Incumbency

Identification and Verification

• Proof of address for directors and ultimate beneficial owners (e.g., utility bill, bank statement)
• Government-issued ID for ultimate beneficial owners
• KYC and AML forms for the entity and its key stakeholders

Corporate Documentation

• Memorandum & Articles of Association
• Corporate Bank Statement
• Authorized Signatory Document (if applicable)

Accreditation Verification

• Accredited Investor Certification for the entity
• Supporting financial documents (e.g., audited financial statements)

Tax Documentation

• W-9 or W-8BEN form, depending on the entity’s location
• FATCA compliance form

Subscription Documents

• Signed Subscription Agreement
• Confirmation of receipt of the PPM

Legal Documentation

• Non-Disclosure Agreement (if required)
• Side Letter Agreements (if applicable)

Investor Questionnaire

• Completed Investor Questionnaire tailored for entities

ESG Compliance (if applicable)

• ESG Compliance Form

Fund Administration Sheets 

During the onboarding process, it is important to keep track of various investor details and operational tasks. 

Fund administration sheets play a vital role in this process, serving as tools for organizing and documenting everything from investor information to financial transactions. 

Investor Information Sheet

• Record personal details, tax identification, and contact information.
• Document investment details, including the amount committed and payment schedule.

Capital Commitment Schedule

• Track funding timeline, capital calls, and payment confirmations.
• Maintain accurate records of outstanding commitments.

Distribution Schedule

• Document expected distribution dates and amounts.
• Keep a history of distributions made to the investor.

Compliance Checklist

• Ensure KYC/AML checks are complete and up-to-date.
• Verify accreditation status with supporting documents.

Communication Log

• Maintain a log of key interactions with the investor.
• Note preferred communication methods and any specific instructions.

Centralized Data Management

• Regularly update fund admin sheets with new information and changes.
• Generate automated reports for investors as needed.

Audit Trail Maintenance

• Keep an audit trail of all investor interactions, documentation submissions, and financial transactions.

Manual vs Automated Investor Onboarding

While it may seem straightforward to check off each item on the list, fund admins know investor onboarding becomes much more complex when done manually. 

The constant back-and-forth communication required to collect what’s needed can be time-consuming and frustrating. This is where an automated investor onboarding platform like Vestlane can add tremendous value to your fund.

Serving over 267 funds and having more than 6,000 investors already onboarded, we offer a powerful platform that can:

• Automate KYC/AML checks
• Capture all necessary information, from basic details to KYC/AML data, with intuitive questionnaires
• Gather UBO details, wealth origin, investor classification, FATCA/CRS, and tax compliance data
• Pre-fill investor information using trade and company register data
• Use VideoIdent, AutoIdent, or manual verifications for identity confirmation
• Integrate with eSignature platforms, allowing investors to use simple and qualified electronic signatures for subscription agreements
• Save investor information in a secure wallet, enabling them to subscribe to new funds in about 5 minutes
• Provide all relevant parties with a single source of truth regarding fund and investor data

One of our clients, FLEX Capital, shared their experience of replacing Excel and embracing an automated onboarding platform.

Vestlane has allowed us to have all important LP information in one single and secure tool that can be accessed by all relevant employees. Gone are the Excel lists, and gone is the massive amount of paper as well as email streams.

Thomas Mayer

Director of Finance at FLEX Capital

Change can be daunting, but if your fund still relies on manual investor data collection, it’s time for an upgrade. Book a demo with us, and let us help you streamline your fund’s operations and build stronger relationships with your investors.