The Jumpstart Our Business Startups (JOBS) Act has been getting a lot of press over the last few months and, despite its bipartisan support, has stirred up a lot of opinions – both positive and negative.
Some of the key pieces of the legislation include a loosening of the regulations for “emerging growth companies” with under $1 billion in annual revenues that would like to go public, an increase in the number of shareholders a company is allowed to have before being required to register with the SEC, and the allowance of ‘crowdfunding,’ including from non-accredited investors.
Those who support the JOBS Act argue that the legislation was necessary to promote growth and provide capital for companies that will then employee American workers. Opponents argue that the elimination of a number of investor protections will create a lack of stability and result in investor losses and securities fraud.
What do you think? The SEC would like to know! As noted in a New York Times article yesterday, the SEC seeks feedback from the public on the JOBS Act, so make sure to take advantage of this opportunity to share your opinion!
If you’d like to share your thoughts, click here and fill out the web comment form or submit an email to let the SEC know what you think!