SEC Adopts Crowdfunding Rules
October 23, 2013
Washington, DC - Today, the Securities and Exchanges Commission (SEC) proposed long-overdue crowdfunding regulations, which will allow entrepreneurs and microbusinesses to raise up to $1 million annually through online web-portals. AEO was a strong supporter and champion of the legislation, known as the JOBS Act of 2012, to ease restrictions on online capital formation and pave the way for crowdfunding. “Crowdfunding presents a number of opportunities,” said SEC Commissioner Michael Piwowar earlier today, adding, “it will give all investors, not just so-called accredited investors, the opportunity to invest in entrepreneurs and their ideas at an earlier stage than ever before.”
The proposed regulation will now enter a 3-month public comment period, before final guidelines are published sometime early next year. In the coming days, AEO will summarize the proposed regulations and provide an analysis to our members and partners. AEO will submit public comments to the SEC, and we invite all of our members and partners to share feedback, comments, and concerns with the AEO team.