Outlined in the 2012 JOBS Act, Title III instructed the SEC to create an exemption from registration that, when implemented, will enable issuers to crowdfund equity offerings to the general investing public.
For Title III crowdfunding offerings, mandate reviewed financial statements for offerings between $100,000 and $500,000, and audits of financial statements for offerings greater than $500,000 (noting maximum offering of $1,000,000).
Title III features include:
- A $1 million offering limit
- Issuers must disseminate an SEC-filed offering statement to prospective investors
- No SEC review or clearance required for offering statement