In a stunning development earlier today, the SEC released the final Regulation A + equity crowdfunding rules under Title IV of the JOBS Act that pre-empts state law, paving the way for $ 50M
unaccredited investor equity crowdfunding.
Not exact matches
The lift on the general solicitation ban is separate from the measure that would make
equity crowdfunding legal for
unaccredited investors.
That particular provision of the legislation would allow businesses to give away pieces of their company to
unaccredited investors in exchange for cash, or
equity crowdfunding.
In the Netherlands,
equity crowdfunding from
unaccredited investors has been legal for the better part of three years.
These restrictions are intended to protect
unaccredited investors (i.e., everyone else) from investing in potentially risky securities, such as
equity in a small business or startup.
There were startups at the summit applying the crowdfunding model to fund companies by connecting seed - stage startups with
unaccredited investors (SeedUps.com) all the way to pairing private -
equity ready businesses with high - value accredited
investors (InvestX.com).