Congress is in the business of making laws. Some of those laws prove helpful, while others do not help much at all. The recently enacted (and eagerly anticipated) crowdfunding provisions contained in the Jumpstart Our Business Startups Act (JOBS Act), which was signed into law on April 5, may ultimately fall into the latter category. Congress intended to make it easier for startups to raise investment capital over the internet by allowing companies to accept small investments from a relatively large number of investors. That much was expected in any crowdfunding measure passed by Congress. However, the strings attached to crowdfunding offerings, which in our view will add significant costs to raising any substantial amount of capital, might make these offerings unworkable.
To read the full, original article click on this link: A closer look at crowdfunding for startups - Silicon Prairie News
