[vc_row][vc_column][vc_column_text]The recent release by the Securities and Exchange Commission of the rules enacting the JOBS Act has finally made crowdfunding a reality for American small business.
And soon, anyone can invest in a start-up.
Prior to this action by the Commission, investments were limited to investors who met certain income and net worth conditions – or for whom securities sale exemptions existed because of the nature of the transaction.
Starting January 26, anyone can invest in a start-up.
First you’ll have to find a “crowdfunding platform” that has registered with the Securities and Exchange Commission.
Only registered investment “portals” will enable start-ups and investors to utilize the new exemption for crowdfunding. So far, the SC has not published a list of these approved sites.
After you select your portal – or portals – you will have to create an account.
Each portal is required to provide educational information in addition to the information about individual start-ups.
Getting your neighbor’s investment in your start-up might be getting easier.
Our Disclaimer. As a law firm, we have to be careful that we do not inadvertently create an attorney-client relationship. So, to be clear, the information provided in this checklist is not intended to and does not constitute legal advice, recommendations, or legal counseling. This information is for your general review and consideration. Your visit to our website or your use of this checklist does not create an attorney-client relationship. We do not guarantee or warrant the completeness, accurateness or usefulness of this checklist. You use the information in this checklist at your own risk. You should not rely upon the information without seeking the advice of a competent attorney licensed in your jurisdiction.