Regulation A+ has been getting a lot of good publicity lately as many companies are moving forward with their offerings and more and more are looking at Reg.A+ as a result. These Regulation A+ offerings created under the Jumpstart Our Business Startups Act of 2012 (JOBS Act) and qualified by the Securities and Exchange Commission (SEC) have led to some groundbreaking news as Regulation A+ IPOs are now listed on two national stock exchanges. Companies like Myomo are blazing the trails, proving the process works, and serving as an example of the power of the product.
Politicians and the government have also taken notice of its success. In fact, the House Financial Services Committee is right now considering adopting a bill that would allow full SEC reporting companies to use Regulation A+ Tier 2 (our favorite!) to be used as a lower cost public offering for their securities. The newly Republican-led SEC could just implement these changes on their own and avoid the need for Congress to pass such a bill entirely, but of course, many questions still need to be addressed before doing so.
Fans and followers of the “Reg.A Money Show” know that these are the very types of topics and questions that are addressed on the podcast. All indicators point to the fact that the new Reg.A+ is the wave of the future for the IPO and that it makes sense to expand the availability of Reg.A+ to reporting companies to allow them to utilize a cheaper and faster option to raise money from the public.