May 11, 2012
Ladies and Gentlemen of the SEC, thank you for allowing comments on the new law and proposals to handle the enforcement of the JOBS ACT.
Currently websites like KickStarter, IndieGoGo, RocketHUB and my AKickInCrowd.Com allow capital formation from groups of people to complete projects, launch creative ideas etc.
These platforms have had phenomenal success and growth rates without the need for expensive audited financials for new businesses. A new business does not have any books or records to review.
Although there must be some form of disclosures of the principals in each project, requiring more actually serves to defeat the intent of allowing small business owners the opportunity of crowdfunding their dreams, just as the creative community has somewhat successfully done in the recent past.
As the founder of AKickInCrowd.Com, I realize the some of regulatory burden will be placed on me and my contemporaries, to administer our sites. Although we should not have sole responsibility, as we can be fooled too and running hundreds of projects through the system doesn't allow us to scrutinize every project.
As you have already witnessed in your meetings with several portal owners, they are interested and committed to creating a safe environment for investors.