It has been a busy week in the world of intrastate crowdfunding legislation. Yesterday we reported on Michigan introducing a crowdfunding bill. Yesterday the Wisconsin Assembly passed a similar bill. The bill will now make its way to the Senate.
Thus far Wisconsin Governor Scott Walker hasn’t taken a position on the bill, but has said that he will evaluate it if and when it reaches his desk. With Wisconsin legislators drumming the bill as a cost-free job creation measure, it is hard to imagine Gov. Walker would provide any opposition.
In an effort to increase the number of accredited investors in the state, the bill would allow investors with over $100,000 in yearly income ($150,000 if filing jointly) to register as accredited investors. They would be able to invest unlimited funds into Wisconsin businesses.
Non-accredited investors would be able to invest up to $10,000, much like the Michigan bill. Also similar to the Michigan bill: companies would be allowed to raise up to $2 million per year if those companies provide audited financial statements. Without providing audited financials, raises would be capped at $1 million.
A Senate vote is expected as early as next week.