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MI HR0235
Resolution
Status
3/23/2016
Primary Sponsor
Tom Barrett
Click for details
AI Summary
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Supports the SEC's adoption of final Title III rules under the JOBS Act, effective May 16, 2016, which permit unaccredited investors to participate in interstate equity crowdfunding.
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Recognizes crowdfunding as a rapidly growing funding mechanism, with estimated investments reaching $34 billion in 2015, exceeding traditional venture capital funding of approximately $20 billion annually.
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Acknowledges that newer companies created nearly all jobs in the United States between 1980 and 2005, and that Michigan's Michigan Invests Locally Exemption (MILE) program has successfully enabled unaccredited investors to fund local business ventures.
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Emphasizes that Title III rules provide investor protections through mandatory company disclosures including financial condition, officer and director information, and ownership stakes of 20 percent or more.
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Directs transmission of the resolution to the Chair of the Securities and Exchange Commission and members of the Michigan congressional delegation.
Legislative Description
A resolution to support the United States Securities and Exchange Commission’s recent adoption of rules pursuant to Title III of the JOBS Act which are designed to facilitate small and start-up companies’ access to capital raised through crowdfunding.
United States Securities and Exchange Commission
Last Action
Adopted
3/23/2016