The new JOBS (Jumpstart Our Business Startups) Act signed into law April 5 designates a new category of emerging growth companies that could issue initial public offerings (IPOs) of stock, while exempted from certain financial disclosure requirements for up to five years.
Also, the law allows “crowd-funding” (i.e., the sale of small amounts of stock to individuals) via the Internet, raising up to $1 million annually without registering shares for public trading with the SEC.
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