Crowdfunding OR Gambling?
The new industry of crowdfunding will be in full force and effect on Monday. After 80 years of private placement investments (i.e.; real estate, gas and oil, etc.) being confined to savvy and well connected investors, the new JOBS Act will permit Developers, General Partners and anyone else needing money to fund their enterprise to advertise anywhere they think it will catch potential investors interest, and ultimately, their investment dollars. This has been initiated to help promote employment and to give all investors the opportunity to invest their funds on the same basis as large institutions and wealthy individuals. It is designed to level the playing field. Like many changes in law, the intentions are sincere, but the details hidden away in the small print are problematic. Unfortunately, that exists here. All of the description above makes good common sense and promotes jobs, as well. The problem appears in the small print that new investors that inquire about these opportun