SEC Issues Proposal on Crowdfunding. Washington D.C., Oct. 23, 2013 — The Securities and Exchange Commission today voted unanimously to propose rules under the JOBS Act to permit companies to offer and sell securities through crowdfunding. Crowdfunding describes an evolving method of raising capital that has been used outside of the securities arena to raise funds through the Internet for a variety of projects ranging from innovative product ideas to artistic endeavors like movies or music. Title III of the JOBS Act created an exemption under the securities laws so that this type of funding method can be easily used to offer and sell securities as well. The JOBS Act also established the foundation for a regulatory structure for this funding method. SEC Chair Mary Jo White noted that the intent of the JOBS Act is to make it easier for startups and small businesses to raise capital from a wide range of potential investors and provide additional investment opportunities for investors.
Crowdfunding SEC Open Meeting Oct. 23, 2013. Jumpstart Our Business Startups Act: Frequently Asked Questions About Crowdfunding Intermediaries. Division of Trading and Markets May 7, 2012 In these Frequently Asked Questions (FAQs), the Division of Trading and Markets is providing guidance on the implementation of the crowdfunding intermediary provisions of the Jumpstart Our Business Startups Act (JOBS Act). These FAQs are not rules, regulations or statements of the SEC. The SEC has neither approved nor disapproved these FAQs. The Division may update these questions and answers periodically. For Further Information Contact: Any of the following at (202) 551-5550: David W. Background These FAQs address questions about the crowdfunding intermediary provisions in Title III of the JOBS Act. Crowdfunding issuers. One of these conditions is that issuers use the services of an intermediary that is either a broker registered with the SEC or a “funding portal” registered with the SEC.
Funding portals. The JOBS Act directs the SEC to adopt rules to implement Title III within 270 days of enactment of the Act. Question 1. Answer: Yes. Question 2. Www.vanderbiltlawreview.org/content/articles/2013/05/Ellenoff_66_Vand_L_Rev_En_Banc_19.pdf. Resource Center - Crowdfunding. SEC Issues New Regs For Crowdfunding; Panel Comments Live. Preserving Cabrini-Green's images In the sharp sun of an April afternoon, Nate Lanthrum walks through the remains of Cabrini-Green giving away what he has taken. He looks out of place, a white guy carrying a $1,500 Nikon D700 camera, but the residents are used to him by now and greet... Blackhawks thrilled to have Brent Seabrook back Starting with Game 6 Sunday, Brent Seabrook's timeout will be over and the defenseman will be back on the ice — so long as he promises to play nice. The Blackhawks have done pretty well in Seabrook's absence, winning all three games the NHL...
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JOBS Act Title III: Investment Being Democratized, Moving Online. SEC proposes rules to allow anyone to invest in startups. The Securities and Exchange Commission (SEC) has finally proposed new rules for equity-based crowdfunding, a way of raising money that is similar to Kickstarter but allows companies to offer stock instead of T-shirts and backstage passes. The proposed rules are still months away from being approved. However, the SEC's recommendations were modest and unsurprising, which should settle industry fears that the agency would make regulations too onerous. The SEC's presentation was light on details about enforcement, however, which may concern some state and local regulators that are worried about fraud.
Equity-based crowdfunding is prohibited under laws intended to protect the general population from making risky investments. However, it will soon become legal under Title III of the Jumpstart Our Business Startups (JOBS) Act, which passed in 2012 on the promise that it would help small businesses and create jobs. The SEC's recommendations were modest and unsurprising. Www.sec.gov/rules/proposed/2013/33-9470.pdf. What You Really Need To Know About The Jobs Act General Solicitation Rule. Jeff Merkley - Fighting for Oregon in the U.S. Senate: Home. October 21, 2013 Washington, D.C. - Today, Senator Jeff Merkley (D-OR), as well as Senators Jerry Moran (R-KS), Michael Bennet (D-CO), Mark Warner (D-VA), Kelly Ayotte (R-NH), Jon Tester (D-MT), Pat Toomey (R-PA), and Mary Landrieu (D-LA) called on U.S. Securities and Exchange Commission (SEC) Chairman Mary Jo White to quickly issue rules governing crowdfunding activities. Merkley and Bennet were lead sponsors on the CROWDFUND Act, which was passed on April 5, 2012 and legalizes the raising of start-up capital for small businesses on the internet.
“The legislation was signed into law on April 5, 2012, and in it Congress directed the SEC to publish rules on the crowdfunding provisions within 270 days of enactment,” the Senators wrote. “It has now been over 530 days since the JOBS Act became law, and we have not seen a proposal from the SEC on crowdfunding. We are concerned that so much time has passed without action.” The full text of the letter to Hon. The Honorable Mary Jo White Chairman.
Jumpstart Our Business Startups Act. The Jumpstart Our Business Startups Act or JOBS Act, is a law intended to encourage funding of United States small businesses by easing various securities regulations. It passed with bipartisan support, and was signed into law by President Barack Obama on April 5, 2012. The term "The JOBS Act" is also sometimes used informally to refer to just Titles II and III of the legislation (an example is here), which are the two most important pieces to much of the crowdfunding and startup community. Title II went into effect on September 23, 2013.[1] Title III is still pending. Legislative history[edit] In November 2011, the House passed several bills aimed at economic revitalization,[2] including Small Company Capital Formation (H.R. 1070),[3] Entrepreneur Access to Capital (H.R. 2930),[4] and Access to Capital for Job Creators (H.R. 2940).[5] The Entrepreneur Access to Capital Act was introduced by Patrick McHenry (R-NC) and revised in collaboration with Carolyn Maloney (D-NY).
Reception[edit] Jumpstart Our Business Startups Act: Frequently Asked Questions About Crowdfunding Intermediaries.