SEC Expands “Accredited Investor” Definition
Scott Edward Walker
AUGUST 30, 2020
The most common exemption used by startups is the so-called “private placement” exemption under Section 4(2) of the Securities Act of 1933, as amended. via crowdfunding or SEC Rule 504 ); however, the cost, onerous requirements and negative signaling generally outweigh the benefit. Current Definition of “Accredited Investor”.
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