Crowdfunding: Weighing the Opportunities, Risks


On April 5, 2012, President Obama signed into law the "JOBS Act." The acronym (for “Jumpstarting Our Business Startups”) is a little misleading, as the Act has less to do with jobs, per se, than with easing regulatory restrictions on small businesses that need to attract investment capital. For business owners, the most interesting features of the JOBS Act include approval of (a) “crowdfunding” and (b) public marketing of Rule 506 (accredited investor) offerings.

Predictably, most of the publicity has focused on crowdfunding, which is also the focus of this article.

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Ronald Adams
Hoopes, Adams & Alexander PLC

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