“Crowdfunding: A New Federal and State Form of Securities Offering”
State Bar of Wisconsin, Inside Track 05/18/16 By Mitchell Lindstrom, co-author
Below is an excerpt:
Purchasing an interest in small businesses just became a little easier as private, unregistered securities offerings can now be conducted through one of society’s most powerful exchanges: the Internet.
The Securities and Exchange Commission (SEC) rules on equity crowdfunding were promulgated in 2015, and became effective on May 16, 2016, opening the door to a new federal form of unregistered securities offering. The federal scheme supplements the state-based equity crowdfunding scheme that Wisconsin adopted in 2014.