Comment on Hey Look, Software Just Ate VCComments−bencollier4913yNot sure I completely understand this - what's the position in the States, can incorporated entities advertise the sale of stock to the public?In the UK that's basically the distinction between a limited company and public limited company (PLC).Gods help anyone who tried to find a way to sell stock in a limited company to the general public. Prison would beckon, I suspect.−mdda13yActually, the UK is ahead of the US in equity (and debt) crowdfunding (the JOBS act is moving the US to the same place gradually). See, for instance, http://www.seedrs.com/ (or http://www.growingbusiness.co.uk/crowdfunding-your-next-sour... for an overview).−bencollier4913yI don't get how this isn't illegal.Limited companies are restricted from selling shares to the public. How do they get around it?EDIT: Scratch that, looks like the FSA green-lighted it. Wow.−opendais13yWe can because of the JOBS act. Basically, if you have 1 million in assets or 200k/year in income, you can invest as a member of the general public.
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Not sure I completely understand this - what's the position in the States, can incorporated entities advertise the sale of stock to the public?
In the UK that's basically the distinction between a limited company and public limited company (PLC).
Gods help anyone who tried to find a way to sell stock in a limited company to the general public. Prison would beckon, I suspect.
Actually, the UK is ahead of the US in equity (and debt) crowdfunding (the JOBS act is moving the US to the same place gradually). See, for instance, http://www.seedrs.com/ (or http://www.growingbusiness.co.uk/crowdfunding-your-next-sour... for an overview).
I don't get how this isn't illegal.
Limited companies are restricted from selling shares to the public. How do they get around it?
EDIT: Scratch that, looks like the FSA green-lighted it. Wow.
We can because of the JOBS act. Basically, if you have 1 million in assets or 200k/year in income, you can invest as a member of the general public.