Representative Kevin McCarthy (R-CA and House Majority
Whip) recently introduced the Access
to Capital for Job Creators Act (H.R. 2940) , which would remove the ban on
general solicitation for securities offering conducted under Rule 506 of
Regulation D. Rule 506 is a safe harbor regulation which...
Earlier this week, I attended the TechNW 2011 conference organized by the Washington Technology Industry Association (WTIA). The
conference was very informative and full of interesting presenters and topics.
The corporate development panel discussion moderated by Tom Huseby (General
Partner and founder...
Four bills made their way through the Capital Markets and
Government Sponsored Enterprises Subcommittee of the House Financial Services
Company Flexibility and Growth Act (H.R. 2167)
Capital for Job Creators Act (H.R. 2940)
Access to Capital...
The House of Representatives overwhelmingly passed two bills designed to improve capital formation, one addressing the 500-shareholder threshold for SEC registration and one addressing offerings under Regulation A .
500-Shareholder SEC Registration Threshold
Sections 12(g) of the Securities Exchange...
Like other capital formation bills we've discussed , the House of Representatives has overwhelmingly approved (by a vote of 407-17) the "Entrepreneur Access to Capital Act," H.R. 2930 . Subject to certain limitations, H.R. 2930 would allow businesses to raise money selling unregistered...
On November 3, 2011, the U.S. House of Representatives
voted overwhelmingly to pass the Entrepreneur Access to Capital Act (H.R.
2930). The bill creates an exemption from the registration requirements of the
Securities Act of 1933, adding a new Section 4(6). This section
provides that an offering...
Previous, I summarized the Entrepreneur
Access to Capital Act (H.R. 2930) , a bill which provides for a crowdfunding
exemption to the registration requirements of federal and state securities
laws. The bill was recently passed by the U.S. House of Representatives,
and now awaits U.S. Senate action...
Many founders I speak with are interested in obtaining
financing for their businesses first from their friends and family members, and
then from professional investors. I agree, this seems to be the common path.
However, many founders do not realize the importance of complying with
As the 1990s drew to a close Congress passed legislation
signed by the President ensuring the deregulation of the derivatives markets.
At the time CFTC Chairwoman Brooksley Born was one of the sole voices of
dissent. Less than ten years that dissent proved prophetic as the most severe
As we know, the Senate changed the version of the
Jumpstart our Business Startups (JOBS) Act in only one way, they added an
amendment, drafted by Sen. Merkley (but also supported by Sens. Bennet and
Brown), which added more investor protections to the "crowdfunding" section of
The Jumpstart Our Business Startups Act, as amended by
the Senate, was voted on by the House of Representatives yesterday and passed
380 to 41. That makes it a very bi-partisan bill, even though a ll 41 "Nays" were
Democrats . If I remember my Schoolhouse Rocks song
This last week, the Senate passed the " JOBS
Act ," leaving it one step away from final passage by Congress and Signature
by President Obama. The JOBS Act contains a number of provisions which
are aimed at reducing the securities compliance burdens of small companies and
startups. One of...
Private funds will be able to advertise and solicit for
investor, provided all of the investors are " accredited
investors ." The Jumpstart
Our Business Startups Act will dramatically change the way capital raising
for private funds operates.
The drawback is the loss of 35 non-accredited...
On this edition, Dick Phillips and Alan Berkeley of K&L Gates and Stan Keller of Edwards Wildman discuss the JOBS Act (Jumpstart Our Business Startups Act), which was signed into law April 5 by President Obama. They provide an overview of the legislation and explore some of the controversies of the...
by Jonathan B. Wilson and Dianne L. Trenholm
On April 5, 2012, President
Obama signed the Jumpstart Our Business Startups Act (the "JOBS
Act"), H.R. 3606, into law calling it "a potential game-changer"
for startup companies. President Obama signed the JOBS Act just...
The People's Republic of China is one country that EB-5
practitioners and related EB5 professionals cannot afford to neglect. The top 5
countries  in
2012, for EB-5 alien entrepreneurs are: China, South Korea, Taiwan (region),
Iran and Venezuela. Chinese investors account for an overwhelming...
For the more seasoned EB-5 practitioner, memories of when
construction jobs could not be counted towards the job creation requirement remain
vivid. While it is true that the some
construction jobs may now be counted, with the plethora of real estate projects
being introduced and managed by Regional...
by Karl J. Ege, Martin E. Lybecker, Danielle Benderly, and James T. Carroll
The JOBS Act's stated purpose
is to spur job creation and economic growth by improving access to capital for
emerging growth companies. To do so, the JOBS Act will make some of the most
significant changes to the U...
"Everyone agrees the title was a work of pure genius,"
says Dick Phillips of K&L Gates in a recent podcast , referring to the Jumpstart Our Business
Startups (JOBS) Act. "It's impossible to vote against in an election year."
When a law is so well named, it's important...
Regional Centers 
lawfully raise capital within the EB-5 Program  pursuant to one or more exemptions from
registration set forth in the United States securities laws. The most commonly utilized exemptions in EB-5
offerings are Regulation D (the Private Placement exemption) and Regulation S...
The seven-member Politburo Standing Committee in China
greeted the world in the Great Hall of the People on November 15, 2012 in
Beijing. What does the new leadership in China mean to EB-5 practice? Most
believe it is too early to tell. However, a few welcoming changes have already
taken place. ...
When the JOBS Act was enacted in April 2012, it raised a
significant amount of excitement in the EB-5 community. At the time, there was
a general consensus that the Act could change the landscape of EB-5 private
offerings. However, the Securities and Exchange Commission's (SECs) indefinite
On February 6, 2013, the Securities and Exchange
Commission (SEC) charged the EB-5 project A Chicago Convention Center (ACCC)
and its principal Anshoo R. Sethi with securities fraud. The project was
marketed primarily in China, with great pomp and fanfare. It offered 499 limited...
It took until just before Memorial Day, but apropos timing as the House Financial Services Committee, on May 22, officially approved 11 bills to help small businesses with capital formation and growth. Many on the Hill are fashioning this group of bills JOBS Act 2.0, as a natural follow to the Jumpstart...
As I have for many years, last week I attended the annual SEC Government-Business Forum on Small Business Capital Formation. This Congressionally mandated event leads with a few panels followed by breakout discussion groups that develop formal recommendations to the SEC staff and commissioners to improve...