The SEC needs to hear what YOU want as it designs the framework for crowdfunding legislation.
“Crowdfunding” is a means of raising investment funding in small increments from a large number of people, often through Internet marketing. Given the challenges small businesses and entrepreneurs face in raising capital to help them grow and compete, especially in the current economic environment, the crowdfunding concept is a viable solution. Particularly in the context of community-based financing of local projects, crowdfunding, has the potential when done correctly to be a very useful tool in opening up access to capital for business.
Since 2010, ASBC has been a strong supporter of crowdfunding as a vehicle for small business to gain access to capital. ASBC has worked on Capitol Hill to ensure that the interests of locally-owned small businesses and entrepreneurs are properly served in the development of crowdfunding legislation. We moved one step closer to our goal on April 5 when the JOBS Act (H.R. 3606), as amended to include the Merkley amendment (CROWDFUND Act), was signed into law.
As the bill moves into the rulemaking stage, the Securities and Exchange Commission (SEC) is soliciting input as it deliberates and develops crowdfunding regulations. ASBC believes that there are important considerations that the SEC must address in order to achieve the clearest guidelines for public investors and the best possible outcomes for small businesses and entrepreneurs seeking capital through this channel.
ASBC invites you to use the comment area below to offer your thoughts and suggestions on the contours of the crowdfunding rules. We will then compile your comments and provide them to the SEC. Please use the Sharing Tools located at the top of this page to promote this forum to your colleagues on various social networks—we would like to solicit as much feedback as possible. If you are not already signed up for e-mail updates from ASBC, please be sure to add your name to our list so you can receive related campaign notices.
Additionally, ASBC will be meeting with representatives from the SEC on Wednesday, June 13 at 1 p.m. EDT at SEC Headquarters, 100 F Street, NE, Washington, D.C., Room # TBD. Please contact Bryan McGannon if you are able to join us in person or by phone (call-in number TBD).
We look forward to receiving your input and having a meaningful dialogue about crowdfunding rules!