Angel is a legally meaningless term. Some investors provide benefits beyond cash in certain cases while others don't. > What's the legal reason behind having

Angel is a legally meaningless term. Some investors provide benefits beyond cash in certain cases while others don't. > What's the legal reason behind having "accredited investor" status - what can an accredited investor invest into that a civilian cannot? Those are two separate questions. The reason is to "protect" investors. Companies can accept investment from accredited investors in certain situations but not from unaccredited ones. These situations involve registration, disclosure, and other things.