Crowdfunding—raising funds from “crowds” of individuals online via websites like Kickstarter and IndieGoGo—has been used to finance thousands of projects, inventions and businesses in the past few years. Now, a provision of the recently enacted JOBS Act, called the CROWDFUND Act, will greatly expand entrepreneurs’ ability to raise money by crowdfunding. Here are 10 steps to successful crowdfunding.
Consult a professional. The CROWDFUND Act seeks to lower the cost of raising capital by exempting companies raising $1 million or less from registering their offering with the SEC. But although you are exempt from registration, you’re not exempt from regulation. Always consult with a professional investment consultant or attorney versed in securities law before embarking on any crowdfunding venture.
To read the full, original article click on this link: 10 Tips for Crowdfunding Your Business – May 2012 | SBDC | Los Angeles Small Business Development Center
