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Crowdfunding / Federal government / Guest posts

Crowdfunding legislation should move: Michael Harrington of Fox Rothschild

Crowdfunding is hot. We’re constantly hearing about local campaigns (Geekadelphia even has Weekly Kickstarter feature). But what’s the deal with equity crowdfunding, the practice of investing in a company via crowdfunding rather than simply purchasing a product or getting perks and swag? And what does the federal government have to do with that? Michael Harrington, […]

The Faculty Commons space at the University of Delaware. (Photo courtesy of the University of Delaware.)

Crowdfunding is hot. We’re constantly hearing about local campaigns (Geekadelphia even has Weekly Kickstarter feature).

But what’s the deal with equity crowdfunding, the practice of investing in a company via crowdfunding rather than simply purchasing a product or getting perks and swag? And what does the federal government have to do with that?

Michael Harrington, an attorney with Fox Rothschild‘s Tech/Venture practice group, gives us a look at the current state of equity crowdfunding and how he believes the SEC is preventing companies from earning early stage funding from this practice.

Read it on Technical.ly here.

Or find more on Fox Rothschild’s blog here.

Companies: Fox Rothschild / SEC
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