{"id":2909,"date":"2020-08-28T12:58:03","date_gmt":"2020-08-28T19:58:03","guid":{"rendered":"http:\/\/oandapc.com\/?p=2909"},"modified":"2021-02-04T16:53:58","modified_gmt":"2021-02-05T00:53:58","slug":"sec-grows-pool-of-potential-startup-investors-by-expanding-accredited-investor-definition","status":"publish","type":"post","link":"https:\/\/oandapc.com\/sec-grows-pool-of-potential-startup-investors-by-expanding-accredited-investor-definition\/","title":{"rendered":"SEC grows pool of potential startup investors by expanding “accredited investor” definition"},"content":{"rendered":"\n
On Aug. 26, 2020, the Securities and Exchange Commission (SEC) amended the definition of “accredited investor” under Rule 501(a) of Reg D to expand the scope of those who may qualify as accredited investors. This is great news for startups who are looking to raise capital through private placements because it will increase the pool of eligible investors who do not require a costly private placement memorandum. <\/p>\n\n\n\n
The amendment goes into effect on Nov. 24, 2020, and the portions which are most relevant to startups are as follows:<\/p>\n\n\n\n
Although the amendment increases the pool of potential investors in your startup, please remember to undertake the proper due diligence of each of your potential investors to confirm whether they qualify as an accredited investor under Reg D.<\/p>\n","protected":false},"excerpt":{"rendered":"
On Aug. 26, 2020, the Securities and Exchange Commission (SEC) amended the definition of “accredited investor” under Rule 501(a) of Reg D to expand the scope of those who may qualify as accredited investors. This is great news for startups who are looking to raise capital through private placements because it will increase the pool […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"content-type":"","footnotes":""},"categories":[19],"tags":[],"yoast_head":"\n