By Jim Verdonik
I'm an attorney with Ward and Smith PA. I also write a column about business and law for American Business Journals, have authored multiple books and teach an eLearning course for entrepreneurs. You can reach me at JFV@WardandSmith.com or JimV@eLearnSuccess.com. Or you can check out my eLearning course at http://www.elearnsuccess.com/start.aspx?menuid=3075 or http://www.youtube.com/user/eLearnSuccessor or you can purchase my books at http://www.amazon.com/Jim-Verdonik/e/B0040GUBRW
Which do you think is most important for building a successful business:
You can skip this article, if you answered ideas, technology or money. Because in this article we're going to talk about people.
Specifically, we'll be talking about the people who will help you raise the money you need to grow your business:
- Sales people
Scope of this Article
In July 2013 the SEC made the biggest changes to private placement capital raising rules since the SEC issued Regulation D more than three decades ago.
More than 90% of private placements rely on SEC Rule 506. These changes allow you to raise capital in a private placement by advertising or doing a general solicitation. But Rule 506 requires you to verify that all the people you sell to are "accredited investors," if you advertise your offering.
In this article we'll talk about:
· How do you build teams to help you do effective advertising while still complying with SEC and state anti-fraud rules?
· What role should your sales team play?
· What role should your lawyer play?
· How do you choose a lawyer who can help you create effective advertising that also complies with securities laws?
See the end of this article for links to other articles about these Rule 506 changes.