Regulation A Offerings

Regulation A permits an issuer to offer up to $5 million of securities in any 12-month period without registering the securities, provided the issuer files an offering statement with the Securities and Exchange Commission prior to the sale of the securities. The offering statement must be provided to offerees prior to their purchase of securities in the business.

Regulation A filings are less detailed and time consuming than full registration statements. Required financial statements are simpler and need not be audited unless the issuer has audited financial statements prepared for other purposes. 

Regulation A does not have any restrictions on the number or qualifications of investors who may purchase securities under its provisions.  Furthermore, securities sold under Regulation A may be resold freely after they are issued.

Contact a securities lawyer at Murphy Desmond S.C. to help you with your business and securities legal matters.