The US Securities and Exchange Commission has
proposed rules for crowdfunding offerings and
exchanges (“portals”). US based companies could
raise up to $1 million per year with limited
disclosures, of types defined by the new
rules, and with amounts that could be sold to
individual investors limited by the investor’s income.
Crowdfunding portals would provide deal information
and company contact information for the deals, but
would not be allowed to handle investment
funds or to directly solicit sales. The new rules
could go into effect within 90 days of the
October 23, 2013 SEC announcement. For the
announcement, see http://tinyurl.com/kmnr3t8
For the full text of the rules proposed, see
http://www.sec.gov/rules/proposed/2013/33-9470.pdf
If you want more information, please contact the
author at wprice@growthlaw.com.