JOBS Act Legislation Opens Up Crowdfunding
Under the new legislation, the typically small round of capital that flies under the regulatory radar for most startups has been expanded to $1 million a year.
By Sam Hogg •
Opinions expressed by Entrepreneur contributors are their own.
The JOBS Act, signed by President Obama earlier this year, will dramatically change the nature of early-stage funding.
With buzz from fundraising websites like Kickstarter and Indiegogo, equity crowdfunding is a welcome player. Under the new legislation, the typically small round of capital (in terms of dollar amount and number of participants) that flies under the regulatory radar for most startups has been expanded to $1 million annually, with similarly limited oversight from the Securities and Exchange Commission.
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