Beyond crowdfunding: Why Regulation A reform is the most vital piece of the JOBS Act
© Jonathan Ernst / Reuters/REUTERS - The U.S. Securities and Exchange Commission still must determine how to implement the changes mandated in the JOBS Act. By Rob Kaplan and Tom Voekler, Published: June 14
Since its enactment, most of the discussion of the Jumpstart Our Business Startups Act (JOBS Act) has centered on crowdfunding and the IPO onramp provisions of the Act. However, the legislation’s expansion of Regulation A actually promises to have the greatest impact on small and mid-sized business capital formation. Capital markets access In theory, Wall Street has always been available to American businesses of any size seeking to raise capital. But in practice, for a host of reasons related to expenses and regulatory burdens that have grown exponentially in the past two decades around initial public offerings, only the largest companies have had access to Wall Street. Read the full article at http://www.washingtonpost.com/business/on-smallbusiness/beyond-crowdfunding-why-regulation-a-reform-is-the-most-vital-pieceof-the-jobs-act/2012/06/13/gJQAHnVQaV_story.html
Description
Since its enactment, most of the discussion of the Jumpstart Our Business Startups Act (JOBS Act) has centered on crowdfunding and the IPO onramp provisions of the Act. However, the legislation’s expansion of Regulation A actually promises to have the greatest impact on small and mid-sized business capital formation.