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Showing 2 posts tagged SEC Rule 501 Regulation D.

Congress Moves to Expand Definition of “Accredited Investor” Under Regulation D

In an era where Congress and the Securities and Exchange Commission (“SEC”) have been working to break down barriers to investment and equity development, it only makes sense a new bill currently wending its way through the legislative process would expand the definition of an “accredited investor.” H.R. 2187, The Fair Investment Opportunities for Professional Experts Act (“the Act”), passed the United States House of Representatives by a vote of 347 to 8 in February and now resides in the Senate. This effort would widen the pool of investors for private placements under Section 501(a) of Regulation D[1] by including those with experience and education in addition to those with a requisite net worth or salary.


[1] 17 C.F.R. § 230.500 et seq. More >

Angel Investor Tax Credit Program Would Be Godsend to Kentucky Businesses

In November 2013, Governor Beshear announced the launch of Kentucky Angel Investors Network, a virtual network that connects companies in need of funding with potential investors from across the state. The network holds monthly on-line meetings wherein investors are given the opportunity to view virtual presentations by entrepreneurs who already have a lead investor and negotiated term sheet. The hope is that investors (who must be accredited in accordance with SEC Rule 501 Regulation D) take interest in the business venture and provide funding that can send the start-up to the next level. More >

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