Seedrs set for US launch after equity crowdfunding legalised
Beta test will give US investors the chance to get involved in selected campaigns ran by the UK equity-based crowdfunding platform
London-based equity crowdfunding platform Seedrs is to commence a beta test of its platform in the US, following the US Securities and Exchange Commission’s (SEC) decisition to make equity crowdfunding legal.
Within the next few weeks, accredited US investors will have the opportunity to invest in selected campaigns on the Startup 100 company’s website.
Should the beta trial be successful, an official launch will commence in early 2016 giving early stage businesses in the US the chance to benefit from equity crowdfunding.
In October 2014, in preparation for its planned expansion, Seedrs acquired Californian crowdfunding platform Junction Investments and has spent 2015 working on a launch strategy that ensures its operation would remain compliant with US law.
This news marks the conclusion of a long campaign for Seedrs CEO and co-founder Jeff Lynn – member of the Young Guns alumni – who has provided expert testimony to two US committees, in September 2011 and May 2014, in support of the JOBS Act equity crowdfunding regime.
Launched in 2012 by Lynn and Carlos Silva (pictured), Seedrs allows all types of investors to invest as much or as little as they like into early-stage businesses in exchange for an equity stake. Over 270 deals have been completed through the platform to date, raising an average of up to £3.5m per month.
In the wake of the announcement, Lynn said:
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“We believe this heralds the emergence of equity crowdfunding as a vibrant form of finance in the United States – just as it has become in the UK and Europe – and Seedrs is perfectly positioned to take advantage of the sector’s growth. The beta testing we are announcing today will be our first foray into the market, and we look forward to growing our presence there significantly in 2016.”