Disappointing news came out of the SEC meeting yesterday designed to open the way for crowdfunding in the U.S. Rather than lifting the ban on general solicitation (we’ll explain that in a minute) in order to make it possible for more people to invest in American startups, the SEC proposed rules that would establish various different classes of investors, each perhaps with its own regulations. Needless to say, this move …Read More

The Securities and Exchange Commission now says it needs at least another week before it can detail its proposal to rescind longstanding prohibitions against startups advertising that they are seeking investors. The SEC had been scheduled to consider the changes at its open meeting today following a delay last week. Prior to missing this week’s deadline and last week’s deadline, both self imposed, the commission missed a July 4 deadline spelled out in the JOBS Act, a recently …Read More

A federal regulatory meeting Wednesday is expected to shed light on how aggressively startups can solicit investments and thus reach beyond venture capitalists and other established investors. At the meeting, Security and Exchange Commission Chairman Mary Schapiro is expected to reveal how the SEC proposes to rescind longstanding rules that bar startups from advertising that they are seeking investments. She is also expected to unveil new proposed rules outlining how …Read More

Every revolution needs a leader.  But when it comes to revolutionizing the funding landscape for millions of entrepreneurs and small business owners, it takes a crowd. I got involved with crowdfunding legislation in November 2011 when the U.S. House of Representatives was preparing to vote on a bill that passed and subsequently – over the next several months – helped shape what was the final crowdfunding bill under the JOBS Act. …Read More

Last month a video game project called Ouya hit the million-dollar mark on Kickstarter in just more than eight hours. It was the biggest single-day crowdfunding total in Kickstarter history. The project went on to receive more than $2.5 million in pledges within 24 hours. With just a few days remaining in its campaign, it has 46,914 backers and a whopping $ $6,061,081 in pledges. Granted, Ouya is an exceptionally successful case, …Read More

Last month, a video game project called Ouya hit the million-dollar mark on Kickstarter in just more than eight hours. It was the biggest single-day crowdfunding total in Kickstarter history. The project went on to receive more than $2.5 million in pledges within 24 hours. With just a few days remaining in its campaign, it has 46,914 backers and a whopping $$6,061,081 in pledges. Granted, Ouya is an exceptionally successful case, but what many …Read More

The concept of crowdfunding to launch and grow your business may seem like a dream come true—reduced cost of capital, access to new pools of investors, the community opening their arms and wallets— all giving your business a shot to make it big.  While crowdfunding (both donation and equity based) offers amazing opportunities, it also brings fiduciary responsibilities, commitments of time, reporting requirements and the potential to let down the …Read More