Regulation Crowdfunding Overview

Regulation Crowdfunding (also known as Regulation CF or Reg CF) was designed to increase access to capital for startups and small businesses and to give everyone the ability to invest in startups and small businesses. Reg CF is an exempt offering strategy, which means that a full registration of the security offering is not required. However an issuer of securities under the Reg CF exemption must meet certain disclosure requirements and must comply with strict rules regarding the marketing of the securities and investor limitations, among others. 

In this overview, we identify the key components of this exemption; the benefits and limitations of Reg CF as a capital raise strategy, and required disclosures.

This resource is helpful for any organization interested in Regulation Crowdfunding as a capital raise strategy.