The Securities and Exchange Commission issued new JOBS Act rules. Here's how they might affect you.
By Jeremy Quittner - Senior writer, Inc.
Update: The new rules for Regulation A go into effect Friday, June 19.
Sometimes good things are worth the wait.
When the Jumpstart Our Business Startups (JOBS) Act--a sweeping law aimed at encouraging the growth of small businesses by easing certain financing regulations--passed into law, headlines were aflutter over a provision that would allow less-wealthy people to invest in private companies in exchange for equity. This provision catalyzed an entire would-be industry known as crowdfunding equity investing. That was three years ago.
While a final ruling on the provision is still in a holding pattern, this week the Securities and Exchange Commission issued a new set of updates that all but upstage that long sought after crowdfunding ruling.