While the JOBS Act turns four years old on April 5, we won’t have the final rules for Title III equity crowdfunding for non-accredited investors until May 16. That’s less than sixty days from now. What should entrepreneurs do to take advantage of this new avenue for capital?
This past October, the SEC made the following significant changes for business owners (issuers in the rules), which should lessen the cost of Title III:
- Review of financial statements, no audit for raises of more than $500K for first time crowdfunding;
- No requirement for ongoing audits or reviews; and
- Allowed use of any independent professional accountant.
In preparation for the May enactment of Title III, I reached out to finance professionals to see what advice they had for business owners and crowdfunders. In the first installment of this two-part series, I’ll outline their recommendations on where to start and how to succeed with Title III.
Read the entire article on Mary's Forbes blog.