Legal Question in Investment Law in California

Re: investment in an event

No.

Investments fall into two categories, loans and equity.

Loans include an expectation that the investment will be repaid sometime, usually with interest, and often the loan will be secured by some kind of collateral or guarantee, such as a bond, a deed of trust, a security agreement, or the like.

Equity investments do not include an expectation of repayment at a fixed time or on a fixed schedule. Instead, people who buy stock in a company, one of the more common ways to make an equity investment, expect to share in the profits of the business, either through dividends or through its long-term growth.

Anyone who puts money into a venture without either a promise of repayment or the realistic expectation of sharing in profits is probably better known as a donor than as an investor.