October 9, 2012
This proposed rules change is long overdue. This is a major step forward in helping small business develop capital to build real companies without the predatory investing community taking a bite out of hard working entreprenuers.
In addition to the proposed rule change it might be a good idea to place an exemption for small investments. Qualified investors can invest whatever they want but unqualified investors should be allowed to invest as well. The mechanism for doing this could be to limit the size of the investment for unqualified investors to under $500 or $1000.
The rationale for this is simple, if the amount is small enough then the investor can "afford to lose" their investment.