A private placement memorandum (PPM) is a legal document provided to prospective investors when a company is selling stock, LLC member units, or another security in a business. It is sometimes referred to as an offering memorandum or offering document. A PPM is not required for accredited investors, but highly recommended so that investors understand the details of the deal. The PPM generally includes: Executive Summary Company Purpose and Overview Use of Proceeds Financial Information Terms of the Offering Risk Factors