January 13, 2014
While I am a member of four professional associations two of which are related to crowdfunding I did not list them for the following is my opinion and does not necessarily represent the opinions of such organizations.
Our Michigan Governor Snyder recently signed bill 4996 which became public act 264 the Michigan crowdfunding measure which is called " Michigan Invests Locally exemption" A review of this legislation which in essence now allows crowdfunding (as described in title III) in Michigan will address many of the 295 questions the SEC has raised, based on the 585 page issued set of potential rules.
The Michigan law now protects the investor, and it makes the procedure, transparent, workable and affordable for the small issuer and since the website does not provide any of the activities related to the offering of securities it does not require a websites to be a member of FINRA but does restricts the activities of such sites to advertising the offering of the issuer and does not allow selling or Commissions to be paid for selling with out the person being a licensed securities broker. It limits the amount that can be invested by any investor who is not an "accredited investor" to ten thousand dollars and it does not require "Audited" financials for those raising under one million but it does include items which must be in the disclosures made by any issuer to possible investors using the exemption. In other words it makes it the law actually useful, practical and doable.
I commend it to your reading and emulation in the rules the SEC finally adopts. In the event the emulation of such laws is not possible with the rules which the SEC can promulgate with the current legislation we should seek amendments to the law to make it possible and focused on the real objectives of the law to make jobs creation and more economic development possible.