How Does Illinois’ Crowdfunding Law Stack Up To The Federal Options – A Comparative Summary

Illinois4One of the questions I get asked most often is “how does the new Illinois crowdfunding exemption compare to the available Federal level crowdfunding options?” I love getting this question as it gives me a chance to really show why the new Illinois crowdfunding exemption is such a workable option. However, given the many subtle nuances between the various options it’s often hard for people to visualize exactly where the similarities and differences really are. To make this visualization easier, I decided to create a handy-dandy comparative summary chart …. wasn’t that nice of me?

DISCLAIMER: Nothing in this post is, or is intended to be, legal advice. The information herein is provided for informational purposes ONLY  and YOU SHOULD CONSULT WITH YOUR ATTORNEY before using any of this information. Further, I make NO REPRESENTATION OR WARRANTY as to the accuracy or use of any of information contained in this post and I have NO DUTY to update any of the information below

Now that we have that out of the way, for your enjoyment here is a summary chart comparing the main provisions related to private securities offerings made under:

  • Rule 506(b);
  • Rule 506(c) (a.k.a. “Title II”);
  • Regulation A – Tier 1 (a.k.a. “Title IV” or “Regulation A+”);
  • Regulation A – Tier 2 (a.k.a. “Title IV” or “Regulation A+”);
  • Retail Crowdfunding (a.k.a. “Title III”); and
  • The Illinois Intrastate Crowdfunding Exemption (a.k.a. “the best intrastate exemption ever” … ok, so maybe that’s just what I call it)

Summary of Private Transacitons - Cover

FYI, if you want to see how the Illinois Intrastate Crowdfunding Exemption compares to the intrastate exemptions of other states, click HERE.

About Anthony Zeoli

Anthony Zeoli is an experienced transactional attorney with a national practice. Specializing in the areas of securities, commercial finance, real estate and general corporate law, his clients range from individuals and small privately held businesses to multi-million dollar entities. Mr. Zeoli is also an industry-recognized crowdfunding, peer-to-peer (P2P) lending and JOBS Act expert and is currently an active board member and Secretary of the CfPA (Crowdfunding Professional Association) and an active member of CFIRA (Crowdfund Intermediary Regulatory Advocates). Most recently he drafted Illinois House Bill 3420, a bill which provides for an intrastate crowdfunding exemption in Illinois and which was unanimously approved by the Illinois’ house and Senate. Anthony is also currently actively involved with the entrepreneurship program at the University of Illinois at Chicago as both a mentor and a student advisor and is an active advisory board member of the New York Distance Learning Association (NYDLA).
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2 Responses to How Does Illinois’ Crowdfunding Law Stack Up To The Federal Options – A Comparative Summary

  1. Pingback: Intrastate Crowdfunding: The Often Overlooked Option | CROWDFUNDINGLEGALHUB.com

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