Posted on Tuesday, June 18, 2019

The SEC published a concept release on ways to ways to simplify, harmonize, and improve the exempt offering framework to expand investment opportunities while maintaining appropriate investor protections and to promote capital formation. One of the goals of the Commission is to facilitate a company’s ability to transition from one offering to another or to a registered offering.

Today, Regulation A companies and companies that are crowdfunded (Reg CF) have different disclosure requirements than public companies, including the requirement that they submit their filings using a custom XML schema, not XBRL. We believe that the Commission should change the formatting requirements for these types of entities to harmonize with public company requirements.

The concept release is out for a public review period which ends 90 days after publication in the Federal Register (September 24, 2019).

Read the concept release.