Subject: File No. S7-09-13
From: Steve Mahoney
Affiliation: Managing Director

January 20, 2014

Crowdfunding enables the small-business to gain needed capital that is the Oxygen for the company to grow. Most crowdfunding will be enabled by a local and regional support group of investors willing to put in small amounts to enable a company owner to realize their dreams. While a noble cause, the provisions being discussed that allow the system to create a natural 'check and balance' are needed.

The model is a 'speed bump' in which small investors must deal with risk and understand investing concepts like 'beta' and the decline of a business. However, simple checklists and quick ratios are possible to gauge a business.

No investment is 100% secure and we all feel like we are going to the casino at times when irrational exuberance weighs in on our investing decisions.

However, I would take a chance on a team, an idea, a business if I had the ecosystem, the platform, and the models in place to enable the future.

The Journey is the Reward - From another Steve....