PROTECTING SMALL BUSINESS, PROMOTING ENTREPRENEURSHIP

Infographic: SEC Acts on Title II of JOBS Act…What it Means for Entrepreneurs

By at 24 July, 2013, 4:48 pm

On July 10, the Securities & Exchange Commission (SEC) finally took the first step on implementing the Jumpstart our Business Startups Act (JOBS Act).  It moved forward with a rule that lifts the 80-year ban on general solicitation, which means that entrepreneurs seeking investors will be able to advertise and market their offerings. At this point, entrepreneurs will only be able to raise funds from accredited investors.

The rule will go “live” 60 days after it appears in the Federal Register, which means it takes effect on September 23, 2013.  (See the final rule as it appeared in the July 24 Federal Register here.)

A proposed rulemaking will require issuers to file information with the SEC before they advertise (changes to Form D), and  SBE Council will monitor and comment on the specific requirements once they are fully proposed.

Sara Hanks, CEO of CrowdCheck, wrote an informative and extensive review of the SEC’s actions – what they mean for investors and issuers – and more, which can be found here.

sec_infographic_sbe-1

 

News and Media Releases