{"id":38,"date":"2013-06-27T21:34:23","date_gmt":"2013-06-28T04:34:23","guid":{"rendered":"http:\/\/variantbrewing.com\/blog\/?p=38"},"modified":"2015-08-28T12:26:00","modified_gmt":"2015-08-28T19:26:00","slug":"the-promise-of-equity-crowdfunding","status":"publish","type":"post","link":"https:\/\/www.farrellcounsel.com\/blog\/archives\/38","title":{"rendered":"The Promise of Equity Crowdfunding"},"content":{"rendered":"

\"Signpost<\/p>\n

By Hunter Farrell<\/p>\n

Lately at technology networking events in Los Angeles, it seems like every third company I talk to is developing a new type of crowdfunding platform.\u00a0 The focus for these companies is the holy grail of crowdfunding:\u00a0 a model that allows the members of the “crowd” to own an equity stake in the venture they are funding — rather than just to make a donation, as in the Kickstarter model.\u00a0 Growing interest in equity-based crowdfunding stems from the federal JOBS Act, passed in 2012, which contains provisions aimed at allowing businesses to sell equity stakes and take loans through crowdfunding platforms.\u00a0 I thought the following article gives a good overview of the relevant legislation and the status of the regulatory process (i.e., SEC rulemaking) necessary for full implementation:\u00a0 http:\/\/under30ceo.com\/crowdfunding-the-legal-need-to-know\/<\/a>.\u00a0 I also saw an interesting article about how various state legislators may be taking equity crowdfunding legislation into their own hands:\u00a0 http:\/\/venturebeat.com\/2013\/06\/21\/state-crowdfunding-state-banks-will-moot-the-jobs-act\/<\/a>.<\/p>\n

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