Thursday, April 21, 2016

Investment Crowdfunding is a Proven Success

Since the passage of the Federal JOBS Act, the industry has shown that these new exemptions are a great way to finance startups, small businesses, and real estate among others. This new financial industry is up and running strong, and it is time for North Carolina to join in by passing the NC PACES Act.

Nick Bhargava
Nick Bhargava, who was part of the original NC JOBS/PACES Act team, discusses some of the success stories in a new post in CFO Magazine. Nick writes:

"As an early advocate for the JOBS Act, I firmly believe it has largely been a success. The purpose of the JOBS Act, signed into law April 5, 2012, is to promote capital formation for small businesses, IPO-ready companies, and everything in-between.
There are seven titles in the Act. Though rarely attended to, Title II which allows general offer and solicitation for private placements, and Title IV, which increases the size and flexibility of Regulation A offerings, are, in fact, the most impactful provisions of the JOBS Act."

Click here for Nick's full post.

We need the NC PACES Act to enable North Carolina investors to safely invest in North Carolina small businesses and startups. NC PACES is compatible with and complimentary to the Federal JOBS Act, and will allow even more NC businesses to grow and create jobs. Please contact your NC State Representative and State Senator and let them know you support NC PACES.




Wednesday, April 13, 2016

Comparing Intrastate Investment Crowdfunding Versus Federal Investment Crowdfunding

Illinois attorney Anthony Zeoli, who is the chief architect of the Illinois intrastate crowdfunding exemption, has posted an interesting analysis comparing the various types of investment crowdfunding options available because of new Federal regulations and the JOBS Act, versus the intrastate exemptions created in Illinois and in many other states. Anthony says:

Anthony Zeoli

"One of the questions I get asked most often is “how does the new Illinois crowdfunding exemption compare to the available Federal level crowdfunding options?” I love getting this question as it gives me a chance to really show why the new Illinois crowdfunding exemption is such a workable option. However, given the many subtle nuances between the various options it’s often hard for people to visualize exactly where the similarities and differences really are. To make this visualization easier, I decided to create a handy-dandy comparative summary chart …. wasn’t that nice of me?"

Please click here to see Anthony's full post and download the excellent comparative chart he created.

The NC PACES Act will provide North Carolina small businesses with the option to raise equity and debt financing using a very similar intrastate investment crowdfunding exemption.