Regulation Crowdfunding (Reg CF), which allows for true equity crowdfunding by small businesses and start-ups, has been in effect for over a year now. The amount of capital raised since Reg CF was launched last year has been steadily increasing as well as the number of portals through which issues can raise money. Senior Contributor to Crowdfund Insider, Georgia Quinn, previously highlighted several pitfalls that issuers conducting a Reg CF offering should be aware of, but I wanted to discuss an issue that is often overlooked and yet is probably the most relevant to issuers: advertising their offerings. Issuers obviously want to market their offerings to raise as much capital as possible, but if they do so in violation of SEC rules, they could end up blowing their entire offering which could lead to some dire consequences.
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