Regulation Crowdfunding (CF) provides an exemption from the registration requirements for securities-based crowdfunding allowing companies to offer and sell up to $5 million of their securities without having to register the offering with the SEC. With Regulation CF, non accredited investors now have the opportunity to participate in the early capital raising activities of start-up and early-stage businesses. Anyone can invest in a Regulation CF offering but investors are limited in how much they can invest during any 12-month period in these transactions. SPVs can be used to aggregate capital for a Reg A offering.
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