CS/CS/CS/HB 275 - Intrastate Crowdfunding Summary

• Creates the "Florida Intrastate Crowdfunding Exemption" allowing in-state businesses to raise up to $1 million in securities from Florida residents without federal registration, provided they comply with federal Rule 147 requirements and state-specific conditions.

• Establishes registration requirements for intermediaries (crowdfunding platforms) to facilitate offerings, including fraud prevention measures, investor verification using Florida identification, escrow account management, and monthly reporting.

• Limits individual investor participation to $2,000 or 5% of annual income/net worth (for those under $100,000) or 10% capped at $100,000 (for those with income/net worth of $100,000+), with accredited investors exempt from these caps.

• Requires issuers to provide comprehensive disclosure statements, escrow agreements with federally insured financial institutions, annual financial reports to investors, and attestations regarding fraud history; imposes a $1 million aggregate offering cap within 12 months.

• Appropriates $120,000 for fiscal year 2015-2016 to the Office of Financial Regulation to implement the act; effective October 1, 2015.