I understand that the SEC needs to balance having efficient markets and facilitating capital formation with the protection of investors, but sometimes erecting roadblocks with the intent of protecting investors is merely regulation for regulation’s sake. On February 5, 2013, the Staff of the Division of Trading and Markets of the SEC provided guidance on… Continue Reading
Tag Archives: crowdfunding
Update on the JOBS Act: Where are we now?
Posted in Capital RaisingAfter a flurry of news articles when the JOBS Act became law in April, the news cycle has been non-stop election coverage. While we all look forward to the end of the political advertisements (especially us Floridians), I wanted to take a moment to bring you up to date on the JOBS Act. So, where… Continue Reading
Securities Law 101 (Part II): Avoiding the pitfalls in a private placement
Posted in Capital Raising, Financial InstitutionsThis is the second part of our Securities Law 101 series. Because capital raising is such a critical function for emerging start-up companies, we designed this series to introduce their management teams to some of the fundamental concepts in securities law. We hope that this series will prevent some of the most common mistakes management… Continue Reading
The new crowdfunding exemption: much ado about nothing
Posted in Capital RaisingSocial media is all the rage and seems to be rearing its head in just about every aspect of daily life. Turn on any television news program, whether CNN, ESPN, or any other, and you’ll be sure to be brought up to date with who has “tweeted” what to whom or what someone’s latest facebook… Continue Reading
JOBS Act update: Keeping current with the SEC’s interpretations
Posted in Capital RaisingThe SEC has been busy over the past several weeks rapidly issuing interpretations and procedures to implement the JOBS Act. Because the JOBS Act is such a fundamental change to securities law, especially for middle market companies, we wanted to spend this blog catching you up to speed on how the JOBS Act looks since we… Continue Reading
SEC to Consider Possible Exemption for Micro-Finance Offerings
Posted in Capital RaisingIn a response letter to Representative Darrell Issa (R-CA) dated April 6, 2011, Mary Shapiro, the Chairman of the Securities and Exchange Commission (“SEC”), indicated that the SEC would be reviewing the feasibility of, among other things, a new exemption from registration for micro-financing or “crowdfunding.” Crowdfunding generally refers to the pooling of small contributions… Continue Reading