⚡ Get All Content for 20% Off ⚡

What You Need to Know About Raising Money After the SEC Ruling (Infographic) Here's a look at how the SEC's vote to remove the ban on general solicitation will impact access to capital in the startup community.

By Catherine Clifford

entrepreneur daily

Opinions expressed by Entrepreneur contributors are their own.

printmatic.net

If you are hoping to raise money from investors for your startup, an SEC ruling this week will make that process much easier than it has been. But you'll also need to know about new forms and deadlines.

The startup fundraising landscape saw its most significant change in eight decades when the Securities and Exchange Commission voted to lift the ban on general solicitation, a move which allows entrepreneurs to tell potential investors that they are seeking funding for their companies. While a boon to entrepreneurs, it also requires getting up to speed on the new rules, timelines and necessary paperwork. Fifteen days before they begin general solicitation, entrepreneurs will need to file a Form D, notifying the SEC of their intentions to advertise. Also, within 30 days of the completion of their fundraising, entrepreneurs will have to amend their paperwork with the SEC.

Related: Secret's Out: Now You Can Tell the Whole World You're Raising Money for Your Business

The following infographic by crowdfunding portal Fundable details the changes the SEC's ruling will have on startups and entrepreneurs.

Click to Enlarge+

What You Need to Know About Raising Money After the SEC Ruling

Catherine Clifford

Senior Entrepreneurship Writer at CNBC

Catherine Clifford is senior entrepreneurship writer at CNBC. She was formerly a senior writer at Entrepreneur.com, the small business reporter at CNNMoney and an assistant in the New York bureau for CNN. Clifford attended Columbia University where she earned a bachelor's degree. She lives in Brooklyn, N.Y. You can follow her on Twitter at @CatClifford.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Side Hustle

The Remote Side Hustle a 43-Year-Old Musician Works on for 1 Hour a Day Earns Nearly $3,000 a Month: 'All From the Comfort of Home'

Sam Ziegler wanted to supplement his income as a professional drummer — then his tech skills and desire to help people came together.

Business News

Costco CFO Reveals Uncertain Fate of $1.50 Hot Dog and Soda Combo

CFO Richard Galanti reveals that the price will stay the same — but only "for a while."

Business News

The Most Unexpectedly Popular Side Hustle of the Decade Has Low Startup Costs and High Markups

A new report shows that vending machines are a popular investment — and the industry is set to grow up to $3 billion by 2031.

Marketing

Ever Wonder Why Certain Websites Rank Higher Than Yours? This SEO Expert Reveals The Secret to Dominating Search Results

It's often the smart use of SEO, now supercharged with AI, particularly in keyword optimization.

Business News

AI Is Impacting Jobs. Here Are the Gigs Affected the Most, According to an Analysis of 5 Million Upwork Postings

The researcher said in the report that freelance jobs were analyzed first because that market will likely see AI's immediate impact.

Leadership

Former Interrogator Shares 5 Behaviors Liars Exhibit and How to Handle Them

Five deceptive behaviors to look for and how to respond to those behaviors when you encounter them.