Every year just after Labor Day, I take a step back and survey the most important current trends and developments in the world of Directors’ and Officers’ liability and D&O insurance. This year’s survey is set out below. Once again... Read More
While preparing a post about the recent legal developments related to crowdfunding, I came across a blog article that provides practical advice on how to run an effective crowdfunding campaign. Although the author uses Kickstarter as a platform example... Read More
In this post, I would like to summarize the information I posted previously about crowdfunding and discuss the kind of company or individual that would benefit the most from this type of financing. In the donor-based model of crowdfunding, it would... Read More
For startups looking to raise capital, Rule 506 of Regulation D is probably the most commonly used exemption from securities registration requirements. It allows a company to make offers and sales to an unlimited number of accredited investors[1] in order... Read More
Yesterday, the SEC finally released its proposed rule to amend Rule 506 of Regulation D to eliminate the general solicitation prohibition for private placement offerings . As I've discussed in a previous post, the SEC's continued delays in issuing... Read More
On May 3, 2011, I participated in the panel discussion titled "Creative Alternative Financing - Crowdfunding & Crowdsourcing" at the 2011 MBE Annual Meeting organized by New York & New Jersey Minority Supplier Development Council. I... Read More
The JOBS Act contained two provisions that have the potential to help startups in their capital-raising efforts: (1) reform of Regulation D, which will permit more widespread solicitation of angel investors (this is also frequently referred to as the... Read More
Crowdfunding is a method of raising funds for a business venture or a project by requesting a small amount of money from a large number of people (typically through the Internet). An average amount of money raised is between $2,000 and $10,000. ... Read More