Tagged: sec

The Definitive Guide: Intrastate Crowdfunding Exemptions

Intrastate Crowdfunding Exemptions as of July 2014

With the Securities and Exchange Commission (SEC) dragging its feet on enacting Regulation CF pursuant to Title III of the JOBS Act, many states are taking action and passing their own intrastate crowdfunding exemptions. While these only pertain to businesses and investors within a particular state they can provide financing opportunities especially from a local… Read More

SeedInvest Launches #SaveAngelInvesting Campaign

Startups Economic Growth SeedInvest

Equity crowdfunding portal SeedInvest has been at the forefront of championing the cause of investors and small business by battling the forces that want to deny many the opportunity to participate in certain offerings deemed only available for “accredited investors”.  As the definition stands today an individual must earn $200,000 to qualify ($300,000 if you… Read More

Investor Advisory Committee Decides to Seek More Data Before Recommendation on Accredited Investor Definition

SEC Investors Advocate Questioned

The Securities and Exchange Commission hosted a meeting of the Investor Advisory Committee yesterday where they tackled the very important issue of defining an “accredited investor”.  Barbara Roper, the Chairman of the ‘Investor as a Purchaser Subcommittee’ closed the meeting without recommendations on altering the definition, stating their intent to meet with DERA (the economic… Read More

SeedInvest to SEC: “Increasing Accredited Investor Thresholds Would Be Disastrous for Small Business”

Sins of Excessive Regulations

On the day when the SEC’s Investor Advisory Committee is scheduled to discuss the definition of an “Accredited Investor”, SeedInvest – one of the leading equity crowdfunding portals in the United States- has posted a comment letter to the SEC stating their research indicates, “an increase to the accredited investor thresholds would be disastrous for… Read More

Reminder: SEC Investor Advisory Committee Set to Meet, Definition of Accredited Investor Will Be Reviewed

SEC Investor Advocates

The Securities and Exchange Commission Investor Advisory Committee (IAC) is set to convene tomorrow, July 10th, at the SEC headquarters in Washington, DC.  On the committees’s agenda is the important topic of the definition of an “accredited investor”. Recently Crowdfund Insider published an article by Anthony Zeoli who discussed how Changes to “Accredited Investor” definition could… Read More

Open Letter to the SEC: Please Don’t Hang Up on Small Business (And Please Don’t Put Small Business on Hold)

Phone Booth Hangup

Some of you who read my article on July 1, 2014, entitled “Intrastate Crowdfunding at Risk -Has Intrastate Crowdfunding in Washington State Been Washed Out by NASAA and the SEC?” may have concluded that I was making a mountain out of a mole hill – or perhaps that I was being too harsh on the… Read More

Intrastate Crowdfunding at Risk

NASAA Letter Quote North American Securities Administrators Association

Has Intrastate Crowdfunding in Washington State Been Washed Out by NASAA and the SEC? On May 5, 2014, I published an article in Crowdfund Insider highlighting recent informal “rulemaking” at the SEC Division of Corporation Finance, which in my opinion quietly dampened the efforts of three states to implement their own brand of intrastate crowdfunding:… Read More

SEC Investor Advocate Submits Inaugural Report to Congress

Rick Fleming

The Office of Investor Advocate (IA), a new role mandated by Dodd-Frank, has submitted its inaugural report to Congress.  In February of this year, SEC Chair Mary Jo White appointed Rick A. Fleming as the first Investor Advocate for the SEC. Fleming, a well known figure in the halls of the SEC, was previously counsel… Read More

Can Equity Crowdfunding Revitalize the IPO Market?

Bridging the Funding Gap Vanishing IPO

While attending the CFGE Conference in New York City last week I was able to sit in on a presentation by Anthony Zeoli regarding the “vanishing middle market IPO”.  Anthony is a securities attorney who is championing the cause of intrastate crowdfunding in Illinois – he has also contributed to Crowdfund Insider. The decline in smaller… Read More

Comment Letter on Blue Sky Review Preemption Submitted by a Handful in Congress

Disaster Thud Kaboom

Several members of congress (20 to be exact out of 435) submitted a comment letter to the SEC earlier this month that attacked the proposal to preempt blue sky review at the state level.  The letter takes the position that it was not the intent of Congress to preempt state authority regarding new rules for… Read More

Investor Advisory Committee Schedules Meeting, Will Discuss Accredited Investor Defination

Barbara Roper Investor Advisory Committee

The Securities and Exchange Commission has created an Investor Advisory Committee (IAC), as mandated by Dodd-Frank, to advise the SEC on regulatory practices and priorities.  You would think the SEC would get tired of all of these outside advisors but that is the world of a federal institution. Dodd-Frank directs the IAC to submit their… Read More

SEC Releases Small Business Capital Formation Report

Small Business Capital Formation

Last fall – way back in November 2013 – the SEC held their annual gathering of minds to discuss the challenges of small business capital formation.  The meeting was mandated by law under the “Small Business Incentive Act of 1980″.  This was their 32nd forum where the leading minds at the SEC convene to review… Read More

500 Startups Partners with Equity Platform SeedInvest For Investor Verification; Public Fundraising for $100M Fund III


500 Startups, an  active venture capital fund and startup accelerator program, has announced that it has filed with the SEC under the new rules allowing for general solicitation, and is now publicly fundraising for its third flagship fund, targeted at $100M. To facilitate this process, 500 Startups has partnered with SeedInvest, a leading equity crowdfunding platform, to… Read More

SEC Talks “Affinity Fraud”


The Securities and Exchange Commission has published an “Investor Alert” on Affinity Fraud.  Basically they are pointing out what should be obvious.  There are always fraudsters out there looking to dupe the unsuspecting.  Confidence schemes (hence the term “con” man) have been around since the beginning of time.  The SEC Office of Investor Education and… Read More

Changes to “Accredited Investor” Definition Could Clip the Wings of Angel Investors

I Love Angel Investors 2

Few words or phrases have the ability to affect the U.S. economy like the term “accredited investor.” Whether you know it or not, these two little words control $800 billion of private investment in the United Stated today. The standards for qualifying as an accredited investor have remained relatively unchanged since the 1980s but that… Read More

Cicely LaMothe Now Associate Director at SEC Division of Corporate Finance

Cicely LaMothe

The Securities and Exchange Commission (SEC) today announced that Cicely LaMothe has been named as an associate director in the agency’s Division of Corporation Finance. In her new position, Ms. LaMothe will join associate directors Paul Belvin, James Daly, Karen Garnett, and Barry Summer in overseeing the division’s disclosure program under the leadership of deputy… Read More

The Need to Enhance Equity Market Structure

Mary Jo White at Senate

Last week during a quick trip to New York City, SEC Chair Mary Jo White addressed the Sandler O’Neill & Partners, L.P. Global Exchange and Brokerage Conference. The title of her speech was “Enhancing Our Equity Market Structure” – a noble subject to be certain.  The SEC has an overflowing plate of regulations to address right… Read More

EarlyIQ Launches Regulation D, Rule 506 Compliance Report


EarlyIQ, Inc. announced on Monday morning a new feature targeted at simplifying compliance with Bad Actor provisions under U.S. Securities and Exchange Commission (SEC) Regulation D, Rule 506 (d). Under the rule, certain disqualifying events must be monitored and disclosed in order to offer securities in compliance with the safe harbor for Regulation D, Rules 506… Read More

The Things Regulators Say in the UK & USA

Martin Wheatley FCA Quote Regulations

Crowdfunding Sees Growing Regulatory Support. “We are now looking for areas where the system itself needs to adapt to new technology or broader change – rather than the other way round. We want to ensure that positive developments, the ones that promise to improve the lives of consumers or clients, are supported by the regulatory environment. In… Read More