Sentences with phrase «general solicitations takes»
Not exact matches
By lifting the ban on general solicitation, entrepreneurs will be allowed to solicit investments through new channels — provided the issuers take appropriate steps to vet investors.
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One of the provisions of the JOBS Act instructed the SEC to clarify Rule 506 of Regulation D to allow general solicitation, provided that issuers of the securities took «reasonable steps» to verifty that purchasers of the securities were accredited investors.
That law required the SEC to establish rules eliminating the prohibition on general solicitation and advertising of Regulation D offerings if: sales are limited to accredited investors and the issuer takes reasonable steps to verify that all purchasers are accredited investors.
The SEC takes a step forward in administering the JOBS Act by lifting the ban on general solicitation.
Had the ban in general solicitation already been in lifted, Helman says the time it took to raise $ 500,000 in that first round would have been greatly reduced.
Section 201 (a) of the JOBS Act requires the SEC to eliminate the prohibition on using general solicitation under Rule 506 where all purchasers of the securities are accredited investors and the issuer takes reasonable steps to verify that the purchasers are accredited investors.