If you are an entrepreneur or have clients who are entrepreneurs thinking about a funding round, the SEC has just released a new tool to help navigate the capital raising process: the “Capital Raising Navigator”. The navigator leads business owners through a series of questions, giving them various ideas and options for raising capital along the way.

It’s basically a flow-chart with questions like: how much do you want to raise? Are your investors all accredited? Will you be contacting investors in your own private network only, or more broadly? The answers lead the founder on a roadmap through various types of offerings the founder may want to pursue, including of course the various ways in which those offerings comply with the securities laws.

There are numerous links along the way, offering founders a wealth (pun intended) of information on the capital raising process. You can find the Capital Raising Navigator here:

https://www.sec.gov/capitalraising/navigator

Let me know if you or your client has any questions about the capital raising process. Thanks!

Rick

This article is not intended and should not be relied upon as legal or tax advice pertaining to any specific matter. You are encouraged to seek competent legal and tax counsel before proceeding with any transaction involving any of the matters discussed above.