Investments in certain companies may involve a high degree of risk in that such companies may be in a relatively early-stage of development with little operating history and with a need for substantial additional capital to support expansion or to achieve or maintain a competitive position. Such companies may face intense competition, including competition from companies with greater financial resources, more extensive development, manufacturing, marketing and service capabilities, and a larger number of qualified managerial and technical personnel.

This is not an offering to subscribe for interests in any fund and is intended for informational purposes only. An offering can only be made by delivery of the Confidential Private Placement Memorandum (the “PPM”) to “accredited investors” or “qualified clients” within the meaning of U.S. securities laws. Please carefully consider the investment objectives, risks, and charges and expenses of the Funds (as defined below) before investing. Please read the PPM carefully before investing as it contains important information on the investment objectives, composition, fees, charges and expenses, risks, suitability, and tax implications of investing in the Funds. Copies of the PPM may be obtained by contacting Hatteras Funds at 866.388.6292. Private equity funds are speculative investments and are not suitable for all investors, nor do they represent a complete investment program. Please contact your financial advisor for additional information about alternative investments.,

Risk Factors: Risks associated with the venture financing; Competition for investment opportunities; Risks associated with Advanced Equities, Inc. as the exclusive source of deals; Unidentified investments; Possible lack of diversification and industry concentration risk; Conflicts of interest; Newly organized entities; Anti-money laundering; Absence of regulatory oversight; Income tax risks; Limited transferability and illiquidity of units; Limitation of participation in management; Dependence of Investment Manager; Reliance on key personnel of the Investment Manager; Amendments of Partnership Agreement without consent of all Limited Partners; Repayment of cash distributions; Failure to make capital contributions; Exculpation and indemnification; Legal Counsel; and Diverse Limited Partners. The foregoing risk factors do not purport to be a complete enumeration or explanation of the risks involved in an investment in the Fund. Prospective investors should read the entire Confidential Private Placement Memorandum and the Limited Partnership Agreement, and consult with their own advisers before deciding whether to invest in the Fund. In addition, as the Fund’s portfolio develops and changes over time, an investment in the Fund may be subject to additional and different risk factors.