While the concept seems new, crowdfunding has been used to capitalize local businesses for hundreds of years. If you had an idea, you pitched it to the elders. If they liked it, they pooled their money and showed up regularly to make sure you were running it right. Today, town elders have been replaced by peers who connect through the Internet and social media. Crowdfunding has democratized the
By Larry MacDonald
The SEC is blocking small business’s access to funding and job creation. …in opposition to the legislative intentions of the JOBS Act, which is to bring more capital into the economy and grow small businesses that create jobs. The SEC, a bit of an old-school relic, appears to be attempting to water down the JOBS Act’s potential for job creation by monkeying with the definitions of accredited investors. Before the Internet, this may have made some sense, but no longer.