Anyone can be a venture capitalist. At least that’s a common take on new SEC regulations removing the “accredited investor” requirement for taking equity shares in private companies. More than a dozen crowdfunding sites are scrambling to connect would-be VCs with startups seeking capital, according to the New York Times. The change may democratize finance, but there are no guarantees of that. The Times article points out that “the most promising companies—the high-growth ventures delivering the monster returns that keep the entire venture-capital industry afloat—may also be the ones least likely to bother raising money in small dribs from the crowd.”
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