Intrastate CrowdFunding Update

By Anthony Zeoli,  CrowdFunding Beat guest contributor, While the industry waits for Title III crowdfunding rules to be released, the intrastate crowdfunding movement continues to move forward (as a whole). Here is a brief update as to the status of the enactment/use of intrastate crowdfunding exemptions in certain states. US-Map-of-RE-Crowdfunding-States-May2014 (1)

STATE OF THE STATES: An Update On Intrastate Crowdfunding

While the industry waits for Title III crowdfunding rules to be released, the intrastate crowdfunding movement continues to move forward (as a whole). Here is a brief update as to the status of the enactment/use of intrastate crowdfunding exemptions in

TEXAS – Unlucky Number 13 As many of you know, Texas is primed to be (and most likely still will be) the 13th state to allow for intrastate crowdfunding. Texas was however, supposed to release their final intrastate crowdfunding rules early this month but that did not happen. Not being one to be left in the dark, I recently reached out to the Texas State Securities Board to find out what happened. Happily, I received some very helpful information from Marlene Sparkman, General Counsel, who said: “The State Securities Board meeting scheduled for August 28th was canceled. The meeting is likely to be rescheduled for early October and the outstanding proposals that relate to intrastate crowdfunding will be considered for adoption at that meeting. We anticipate filing the adopted rules with the Texas Register within 2 weeks after the meeting. Thereafter, the adoptions would be published in the Texas Register and would become effective approximately 20 days after that filing is made. You can view the intrastate crowdfunding proposals on our website under the May 9, 2014 entry.” There does not appear to be any material changes in the rules posted on the above referenced website from the “proposed rules” issued May 9, 2014. That being said, on the above referenced website there are some proposed crowdfunding administrative forms which were not available previously, including a an application for “Crowdfunding Portal Registration,” an application for “Crowdfunding Portal Withdrawal of Registration” and a form of “Crowdfunding Exemption Notice.” So from Ms. Sparkman’s response above, it looks like final rules are scheduled to be release by early November. One caveat however, is that I recently spoke to another member of the Texas State Securities Board as well who said that the meeting still has not been rescheduled. As a result, the release of the final rules may be delayed even further. NORTH CAROLINA – Where N.C. unfortunately stands for “No Crowdfunding” I am saddened to announce, for those of you that do not know, that unfortunately the proposed North Carolina intrastate crowdfunding act (the NC JOBS Act, originally HB680) is officially dead… at least for now. The proposed bill originally passed the North Carolina House by an almost unanimous vote (103 to 1) but failed to pass a Senate vote earlier this month (47-54 against). The belief is that bill failed in the Senate because legislators attempted to bundle the proposed intrastate crowdfunding exemption with certain other unrelated and unfavorable legislation. As noted on the exemption proposal website: “The The Senate leadership tried repeatedly to attach other more controversial legislation to the NC JOBS Act, and each of those attempts failed either in the Senate or when sent back to the House. The final attempt today was a bill entitled H1224, which bundled together 6 other provisions for sales taxes and corporate welfare along with the JOBS Act, and was also tied to two other bills that would provide amendments to H1224 if it was passed. A very contentious debate about the other provisions in the bill raged over the last week between the Senate and the House, in committees, and in the caucuses, with the ultimate result a final vote today of 47-54 against the bundled bill. This was the final bill to be considered by the legislature for the current session, which will adjourn tomorrow.” In preparing my proposed Illinois intrastate crowdfunding bill, I had several discussions with the team who put the North Carolina bill together, including Mark Easley and Michael O’Brien. I know how hard the individuals worked to get as far as they did and it is a shame to see those efforts wasted by short sighted politicians. Per Mr. O’Brien, the intent is to reintroduce the proposed intrastate crowdfunding as soon as possible and I can only hope that they have better luck when they do. Anthony J. Zeoli Ginsberg Jacobs LLC 300 South Wacker Drive, Suite 2750 Chicago Illinois 60606 Tel 312.660.2206     Fax 312.660.9612     Cell  773.983.9133 azeoli@ginsbergjacobs.com     www.ginsbergjacobs.com

Tags: , ,

HEADLINE NEWS

This RSS feed URL is deprecated, please update. New URLs can be found in the footers at https://news.google.com/news [...]

NPRAfter Outcry, Crowdfunding Site Patreon Backs Off Plan To Raise ...NPRThe popular crowdfunding service Patreon has backed off plans to change its payment structure, after widespread, vocal and passionate opposition from creators and their fans. Last week, the site announced it woul [...]

TechCrunchHow hate speech crowdfunding outfit Hatreon crept back online ...TechCrunchIf you want to make a living creating white supremacist content, you're probably not going to do it via sites like Kickstarter and Patreon, which prohibit hate speech. Fortunately there's Ha [...]

CoinDeskKickstarter ICO? Don't Count On It Says Crowdfunding Leader ...CoinDeskThe company most widely associated with crowdfunding, Brooklyn-based Kickstarter, has no plans to get into the initial coin offering (ICO) business. Coming in response to the news yesterday that compet [...]

CryptoCoinsNewsCrowdfunding Giant Indiegogo Looks to Make ICOs Mainstream ...CryptoCoinsNewsOne of the world's most popular crowdfunding platforms is getting in on the ICO game. Josiah Wilmoth on 14/12/2017. ------------------Advertisement------------------. Advertisement · Reddi [...]

ForbesCrowdfunding Do's And Dont's From iFundWomen's Karen CahnForbesDuring our conversation, she was transparent in sharing that her first software company, VProud, failed because she “did everything backwards” and spent too much time trying to perfect the product. “Pe [...]

Crowdfunding via Customers: Is This The New Startup Capital?Customer ThinkWith more and more companies in a variety of sectors developing new crowdfunding campaigns, it makes sense to ask whether crowdfunding is likely to replace startup capital in the near future. Crowdfunding is qui [...]

VentureBeatAtaribox hits the pause button on its crowdfunding campaignVentureBeatAtari was supposed to start taking preorders along with launching its crowdfunding campaign on Indiegogo today for its new Ataribox console. However, it seems to have hit an unspecified snag and in an ema [...]

Coindesk (press release) (blog)Crowdfunding Giant Indiegogo Opens to ICOs - CoinDeskCoindesk (press release) (blog)The startup revealed today that, through an existing partnership with MicroVentures, it will begin offering services to projects seek to use the blockchain funding model. [...]

TechCrunchFormer Gawker employees are crowdfunding an effort to buy Gawker.comTechCrunchWhile Univision acquired most of Gawker Media's sites last year (and renamed them as the Gizmodo Media Group), the deal didn't include Gawker itself. In fact, BuzzFeed reported last month [...]

CFB Finance

Marketwired

  • Crowdfunding
  • Crowdfund
  • Peer to Peer Lending
  • FinTech
  • Reg A+
  • Reg CF
  • Crowdfunding USA

Press Release

Live Crowdfunding .tv

What's Next Step in Regulation A+ JOBS ACTS Title IIII :L Interview : Steve Cinelli with Brian Korn Securities and Crowdfunding/Peer-to-Peer Lending Lawyer, Watch more video library | Conference | Interview | Campaign Showcase | Research | Education |