With Title III of the JOBS Act Coming, StartEngine Raises $5.5M to Expand Crowdfunding
- After being used as a platform for other startups to raise funds in their campaigns, StartEngine announced a funding round of its own.
Among the early adopters to new rules in the US governing equity Crowdfunding Crowdfunding Crowdfunding is defined as funding of a project via raising smaller denominations of money across a large body of number of people.New businesses that need access to more capital may also conduct crowdfunding. Generally, crowdfunding is performed through an online community, social media, or crowdfunding websites such as Kickstarter, GoFundMe, and RocketHub. Depending upon which jurisdiction an investor resides within will dictate the sort of restrictions that are applied to the crowdfunding pro Crowdfunding is defined as funding of a project via raising smaller denominations of money across a large body of number of people.New businesses that need access to more capital may also conduct crowdfunding. Generally, crowdfunding is performed through an online community, social media, or crowdfunding websites such as Kickstarter, GoFundMe, and RocketHub. Depending upon which jurisdiction an investor resides within will dictate the sort of restrictions that are applied to the crowdfunding pro Read this Term sales to retail investors, StartEngine Crowdfunding has announced their own funding round. Securing $5.5 million from SE Agoura Investment LLC, an investment affiliate of Aubrey Chernick, StartEngine will be using the funding to expand their marketing of the platform.
Following the implementation of Regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Read this Term A+ of the JOBS Act in April, which allowed private firms to raise up to $50 million from non-accredited investors, StartEngine made headlines by receiving over $25 million in funding interest in a few weeks for the crowdfunding campaign of Elio Motors. That crowdfunding campaign has gone on to raise over $45 million in interest before Elio Motors received approval to sell $25 million in shares.
Ron Miller, CEO, StartEngine
Beyond Regulation A+, which opened up sales to non-accredited investors but is still limited to larger startups that can afford the expected $50,000 to $100,000 in legal and accounting costs to conduct a sale, the US crowdfunding sector is expected to gain a tremendous boost when Title III of the JOBS Act goes into effect later this year. Focused specifically on crowdfunding, Title III provides a framework for smaller startups to raise up to $1 million from non-accredited investors using a crowdfunding campaign.
Among crowdfunding professionals, once Title III goes into effect, there is a hope that it will open up private company investing to a much larger population of investors and become an alternative to traditional asset classes like stocks and bond.
Commenting on their funding and the potential of crowdfunding in the US, Ron Miller, CEO of StartEngine stated: “This investment is further proof of the early success of the StartEngine platform and the potential of equity crowdfunding. This fundraise will elevate the StartEngine platform, adding new investment opportunities and furthering our mission to help entrepreneurs achieve their dreams.”
(Correction: The article was updated as it previously stated Elio Motors had received $21 million share reservations on $70 million of interest. Which in fact is related to pre-orders for the vehicle and not their shares)
Among the early adopters to new rules in the US governing equity Crowdfunding Crowdfunding Crowdfunding is defined as funding of a project via raising smaller denominations of money across a large body of number of people.New businesses that need access to more capital may also conduct crowdfunding. Generally, crowdfunding is performed through an online community, social media, or crowdfunding websites such as Kickstarter, GoFundMe, and RocketHub. Depending upon which jurisdiction an investor resides within will dictate the sort of restrictions that are applied to the crowdfunding pro Crowdfunding is defined as funding of a project via raising smaller denominations of money across a large body of number of people.New businesses that need access to more capital may also conduct crowdfunding. Generally, crowdfunding is performed through an online community, social media, or crowdfunding websites such as Kickstarter, GoFundMe, and RocketHub. Depending upon which jurisdiction an investor resides within will dictate the sort of restrictions that are applied to the crowdfunding pro Read this Term sales to retail investors, StartEngine Crowdfunding has announced their own funding round. Securing $5.5 million from SE Agoura Investment LLC, an investment affiliate of Aubrey Chernick, StartEngine will be using the funding to expand their marketing of the platform.
Following the implementation of Regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Read this Term A+ of the JOBS Act in April, which allowed private firms to raise up to $50 million from non-accredited investors, StartEngine made headlines by receiving over $25 million in funding interest in a few weeks for the crowdfunding campaign of Elio Motors. That crowdfunding campaign has gone on to raise over $45 million in interest before Elio Motors received approval to sell $25 million in shares.
Ron Miller, CEO, StartEngine
Beyond Regulation A+, which opened up sales to non-accredited investors but is still limited to larger startups that can afford the expected $50,000 to $100,000 in legal and accounting costs to conduct a sale, the US crowdfunding sector is expected to gain a tremendous boost when Title III of the JOBS Act goes into effect later this year. Focused specifically on crowdfunding, Title III provides a framework for smaller startups to raise up to $1 million from non-accredited investors using a crowdfunding campaign.
Among crowdfunding professionals, once Title III goes into effect, there is a hope that it will open up private company investing to a much larger population of investors and become an alternative to traditional asset classes like stocks and bond.
Commenting on their funding and the potential of crowdfunding in the US, Ron Miller, CEO of StartEngine stated: “This investment is further proof of the early success of the StartEngine platform and the potential of equity crowdfunding. This fundraise will elevate the StartEngine platform, adding new investment opportunities and furthering our mission to help entrepreneurs achieve their dreams.”
(Correction: The article was updated as it previously stated Elio Motors had received $21 million share reservations on $70 million of interest. Which in fact is related to pre-orders for the vehicle and not their shares)