Editor's Note: The following post comes to us from Chance Barnett, co-founder and CEO of crowdfunder, which has been holding a series of startup competitions across the country this year in advance of the crowdfunding system legalized in the JOBS Act to drive home the notion that equity crowdfunding holds major promise for local economies.

There are two things that grab people’s attention most about the future “equity-based” crowdfunding market, that’s made possible as part of the JOBS Act.

The first is the local investment opportunities. If people in the U.S. finally have access to investing in small businesses and early stage startups locally, it could be a game-changer.

In short, there’s a potential shift that will happen from Wall St. to Main St. Rather than everyone in the U.S. putting their money in large banks and Fortune 500 company stocks via mutual funds… they put their money to work in their local economy instead. This means local jobs.

The second is the question, “When will equity crowdfunding go live?”

The Impact of Crowdfunding in Local Communities

What if… instead of putting your money in a large national bank, you could pool your money with your community and become an investor in local people and businesses? What if you knew that doing this would create a positive impact on jobs and your local economy?

People see the possibilities for investment in their local community. As Amy Cortese, author of Locavesting put it, “If Americans shifted just 1% of the $30 trillion they hold in personal savings & investment account to small businesses, it would amount to more than 10 times the venture capital invested in all of 2011.” Check out our business crowdfunding infographic.

This kind of shift would be a revolution in finance, and helping communities connect is a large part of our mission in crowdfunder.

CROWDSTART Contests Connecting Communities Across The U.S.

It’s been two months since crowdfunder opened its virtual doors, and we’ve been blown away by the passion, ambition and talent in our growing community. Around 8,000 people have enthusiastically joined crowdfunder in the last two months- made up of both founders looking to raise capital, and crowdfund investors rating and supporting companies and founders they believe in.

The thousands of people on crowdfunder have come from all corners of the country, bringing a rich and diverse range of backgrounds, experiences and skill sets. There’s a growing community of entrepreneurs and crowdfund investors who see the power and possibilities of equity-based crowdfunding for their near-term goals and aspirations.

July 10th marked the culmination of our first online crowdsourced startup contest, CROWDSTART LA, where startups across the U.S. competed on crowdfunder for the support and votes of both the crowdfunder and local communities. Because equity-based crowdfunding won’t be legal until December 31 when the Securities Exchange Commission is due to deliver rulings on crowdfunding, we’re hosting local contests with investment prizes to put real funding up for grabs.

CROWDSTART LA marked the first in a series of contests we’re planning over the next several months. The seven-week contest drew over 700 business submissions, 74 contestants and 10 finalists.

Who took home the funding prize? Divshot, an interface builder for web applications founded just three months ago during a Kansas City Startup Weekend. Besides winning the $25,000 prize, Divshot also got the opportunity to join one of LA’s strongest startup accelerators, LaunchPad LA. Right Side Capital Management provided the prize money.

Next Stop: CROWDSTART Las Vegas and a $500,000 Prize

With $350 million in planned investments, The Downtown Project in Las Vegas is at the center of one of the most ambitious projects anywhere in the U.S. Their goal? Invest in and build a thriving, vibrant entrepreneurial community from the ground up.

The Vegas Tech Fund has more than just a front-row seat to the action in downtown Vegas. They’re actively cultivating and investing in tech startups that will be active role-players in the Downtown Vegas eco-system. Zach Ware, partner in the Vegas Tech Fund, couldn’t have said it better: "You can really change the world with a laptop."

We couldn’t agree with Zach more. That’s why we’re partnering with Vegas Tech Fund for the 2nd stop on our contest tour - CROWDSTART LV – giving startups a shot at $500,000.

The Vegas Tech Fund will select up to 10 top startups in late August: five will come from those with the most votes from this community. Another five will be hand-selected by Vegas Tech Fund looking for exceptional founding teams and community-oriented projects. The 10 finalists will pitch at the mid-September live event for an investment opportunity of up to $500,000.

Ready to change the world and create real impact with your startup? Sign up for CROWDSTART LV. All you need to do is create your company profile on crowdfunder to enter. Check out Mission.TV for inspiration.

Crowdfunding Laws & SEC Rulings

We’ve been actively engaged with SEC and FINRA, the two agencies in charge of creating the regulations for the crowdfunding industry, and we’ve got the latest inside scoop for you on crowdfunding laws and the timelines.

To learn more about where things are right now and when equity crowdfunding will go live, please read the following article.

There are a few upcoming SEC Rulings dates and timelines to know about, and we’ve got the latest info for you.

Crowdfunding is a collaborative and community activity, so it needs your involvement. Get involved.

Please share with us your thoughts or questions about crowdfunding in the comments below or visit crowdfunder's blog, Twitter, or Facebook.