July 15, 2011
Elizabeth M. Murphy, Secretary
U.S. Securities and Exchange Commission
100 F Street NE
Washington, D.C. 20549
Dear Ms. Murphy,
I am writing in support of SEC Rulemaking Petition File No. 4-605, of the "Crowd-funding Exemption" The new rule would provide an important option for small business to obtain funding for their ventures.
The approval of such a rule would result in mass job creations across the country… More small businesses, more jobs.
I believe the risk to micro-investors, can be minimized by implementing simple guidelines/requirements:
You will always have some form of fraud, but I think this will naturally be suppressed for the fact that most businesses (individual) that would be seeking this type of funding are internet fueled/related businesses and the internet itself is a pretty good tool for reviewing, analyzing and determining the validity and authenticity of the proposed business/offer.
I also believe that most investors that would be seeking these investments are knowledgeable, and probably internet savvy. Furthermore, investments of this size and scope are likely to be sourced in the very community that the offerer wishes to create his/hers company - whether this is a community of family, friends, or neighbors; online or off.
The rule is in keeping with the purposes of the Securities and Exchange Act and is precisely the type of policy innovation that is called for in the current economic climate.
I strongly urge the SEC to enact Rulemaking Petition File No. 4-605.
Thank you for the opportunity to comment,
Maurice Lopes - Chief Executive Officer
1st Kiddie Catering LLC