By David Drake
Will the crowd set new rules on who gets their sympathy, empathy, wealth and investments? Or will they do better than the privileged few? After crowdfunding passed the phenomenon phase, will it soar to further heights? With the approved Title III rules fully implemented today, what can the crowd expect?
Interested to probe more on what is in store for crowdfunding? Get hold of my new book on crowdfunding. Entitled The Crowdfunding Economy, the book will be launched today, 16th May 2016, in time for the full implementation of the regulated crowdfunding or Title III rules. I was there from the very beginning, having lobbied for the Jumpstart Our Business Startups (JOBS) Act.
A chapter is devoted to the JOBS Act, now fully embedded in the business landscape, enables new and existing companies and startups to raise capital faster through crowdfunding. It also encourages creation of more jobs, which is good for the economy.
With more than 20 chapters, I have devoted one chapter on crowdfunding deconstructed. Here, I explained S.P.P.I.C.E., a term I coined to mean Service, Product, Project, Investment, Cause, or Experience.
The Crowdfunding Economy also talked about how to use crowdfunding as a market and research tool for new startups and existing firms. Examples of how to do this are highlighted in the book. Are you a new startup? Find out how you can save on R&D and marketing costs.
Are you a newbie in the crowdfunding industry, and you wish to raise capital? Read on the different regulations comprising the JOBS Act in one place, here and now in this book. Aside from the rules that you can get from the Securities and Exchange Commission website, you will be able also to get my insights on how crowdfunding, Reg A+, Reg D, and regulated crowdfunding work.
Debt and equity crowdfunding, known by many as regulated crowdfunding, will be fully implemented today. The crowd can now participate fully in regulated crowdfunding. Within a 12-month period, an investor can only buy a total of $100,000 securities, so they do not go overboard with their online investments. The company, on the other hand, can raise a maximum aggregate amount of $1 million through crowdfunding offerings in a 12-month period. If you are using the Title III Rules for the first time, your company will not undergo full audit. A detailed discussion on this topic can also be found in the book.
I have also covered the legal and intellectual property issues confronting entrepreneurs when crowdfunding their projects and inventions. What are the don’ts and do’s on these issues that you have to take care so that you will not be victimized by IP theft and infringement. This chapter also showcases the crowdfunding platforms that protect intellectual property rights, as well as the challenges ahead.
Will the interest of the crowd still be at the forefront of crowdfunding economy? Find out in the last chapter of my book. For more details on the book, and how to order a copy click here.
David Drake is the Chairman of LDJ Capital, a multi-family office; Victoria Partners, a 300 family office network; LDJ Real Estate Group and Drake Hospitality Group; and The Soho Loft Media Group with divisions Victoria Global Communications,Times Impact Publications, and The Soho Loft Conferences. Reach him directly at David@LDJCapital.com.