COVID-19 Update: The SEC’s Temporary Relief from Certain Requirements of Regulation Crowdfunding
This First Analysis article discusses the temporary amendments adopted by the Securities and Exchange Commission (SEC) on May 4, 2020 to provide relief from certain requirements of Regulation Crowdfunding and facilitate capital formation for small businesses impacted by COVID-19. According to the SEC, “[t]he temporary final rules are intended to expedite the offering process for smaller, previously established companies … affected by COVID-19” and provide “tailored, conditional relief” from certain requirements of Regulation Crowdfunding related to financial information required to be included in the issuer’s offering materials and the timing of the offering “while retaining appropriate investor protections.” The amendments apply to securities offerings initiated under Regulation Crowdfunding during a limited time period between May 4, 2020 and August 31, 2020.
To read the full practice note, please click here.
“COVID-19 Update: The SEC’s Temporary Relief from Certain Requirements of Regulation Crowdfunding,” by Yelena M. Barychev and Melissa Palat Murawsky was published in June 2020 as a Lexis Practice Advisor® Practice Note. Reprinted with permission.
This practice note was first published as a Blank Rome Corporate, M&A, and Securities client advisory on May 26, 2020.