Companies need to raise capital from time to time, and there are several ways they can do so. One of the most popular options today is called Regulation Crowdfunding, which is usually shortened to Reg CF. How does Regulation Crowdfunding work, and what are some of the main advantages? Take a look at a few important points below
Category: Regulation CF
Raising capital is a necessity for companies across all industries, but there is always a cost associated with the fundraising process. There are multiple fundraising options available, but Regulation Crowdfunding, usually shortened to Reg CF, has become more popular during the past few years. What is Reg CF, and what are the co
There are plenty of foreign companies that want to make offerings in the United States. Some foreign companies might be wondering, can non-US issuers make a Reg A or Reg CF offering? If they are allowed to do so, are there any limits that they need to stay under? It is important to take a closer look at the rules and figure out
Freddy and Fabrizio, co-founders of F&F Inc. want to raise capital to franchise their local retail chain, eventually on a national level. They're discussing the benefits of following Regulation A+ vs Regulation CF. Here's how they see each scenario affecting F&F.
Freddy: So Fabrizio, Reg A+ gives us optional access t
Back in 2019, an anticipated tech company called Slack decided to debut their shares to the public through a direct listing onto the New York Stock Exchange. Slack is the second major tech company behind Spotify to do a direct public offering (DPO). Currently, Slack has 10 million active users with a considerable amount of payin
Companies conducting a public offering must file a registration statement with the SEC before offering their securities for sale. Once the registration statement has gone into "effect", these securities are deemed to be "registered". Companies who have not registered their securities would trigger the requirement to register
On Nov. 2, 2020, the Securities and Exchange Commission (SEC) adopted amendments to the exempt offering framework under the Securities Act of 1933. The rules will benefit the investors, emerging companies, and more seasoned issuers by:
Simplifying the multilayer exempt offering framework.
Promoting capital formation
E
On March 4th, the SEC proposed a series of amendments to improve crowdfunding regulations and the exempt offering framework. The proposal is aiming to promote capital formation and expand investment opportunities. Whether its raising seed capital or on the path to an initial public offering, a majority of entrepreneurs and emerg
There are many ways to invest; you can invest your money through owning collectables, owning a home, opening a savings account, or investing in a company. Below are five benefits of investing through equity crowdfunding.
Dividend Income
If you invest in a company that offers stock dividends, you could have a consistent source
For many entrepreneurs, investing in a startup company is not possible because of their financial situation. Traditional types of investment (from banks, large corporations, through venture capital, etc.) are prohibitive to smaller investors; however, equity crowdfunding allows small-scale investors to grow their companies. Equi