Washington Crowdfunding Software

 
Washington crowdfunding
 
In order to be able to raise capital under the Washington crowdfunding exemption, the company must be able to establish that the offering qualifies for the federal exemption from registration under Section 3(a)(11) of the Securities Act of 1933 and Rule 147 adopted thereunder. Section 3(a)(11) provides a Washington crowdfunding exemption from the securities registration requirements under federal law for offers and sales of securities that are made to residents of a single state where the issuer is organized and doing business within that same state. Rule 147 provides further guidance as to the availability of this exemption. In summary, Rule 147 provides that this exemption is available where:

  • The issuer of the securities is incorporated or otherwise legally organized under the laws of the state in which the offers or sales of securities will take place;
  • The principal office of the issuer is located within the same state;
  • The issuer must derive at least 80% of its gross revenues from the operation of a business located within the same state;
  • At least 80% of the issuer’s assets are located within the same state; and
  • The issuer uses at least 80% of the funds raised in the offering for the operation of the business within the same state.

It is important to note that while this is an abbreviated summary of federal Rule 147, all of these requirements must be satisfied to rely on this federal exemption and to be able to structure an offering under the Washington crowdfunding exemption.

 

Review the current Washington Crowdfunding Exemption:

 

Here are just a few features for Washington crowdfunding included in the CrowdForce platform software:

• State residency self-verification
• Driver’s license upload for verification
• Setting funding limits for non-accredited investors
• Allowing accredited investor participation
• Complete and simple document signing and management
• Integrated ACH payments
• Plug in your state escrow account
• Plugin in your broker services for accredited investments
 
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