Recently, I came across an online petition proposing a
new "Startup Exemption" to federal securities registration requirements.
You can find the petition at this website: www.startupexemption.com. Like many other
similar proposals, its goal is to ease the regulatory burden on small
businesses trying to raise capital. Some of the highlights of
the proposed exemption are:
So those are the highlights. As you can see, many
of the points described need some further thought. I like the basic idea
and even Mary Shapiro, Chair of the SEC has spoken of
the need to relax the regulatory burden on startups. Actually
accomplishing that without increasing the likelihood for fraud is the
Read more articles by Alexander Davie at Strictly Business, a
business law blog for entrepreneurs, emerging Companies, and the investment
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