TechNet Applauds Approval of JOBS Act – House Vote Final Hurdle to President Signing It Into Law
Washington, D.C. – TechNet, the bipartisan policy and political network of technology CEOs that promotes the growth of the innovation economy, today applauded the U.S. House of Representatives quick, bipartisan approval of the Jumpstart Our Business Startups Act (JOBS Act), legislation that would make it easier for high-growth firms to raise capital needed to grow.
The legislation has received wide, bi-partisan support in both houses of Congress and included several proposals offered by the Obama Administration. The President has indicated he will sign the JOBS Act into law.
“TechNet applauds the House of Representatives for its overwhelming bipartisan support of the JOBS Act,” said Rey Ramsey, President and CEO of TechNet. “This bill modernizes the rules of how a company can raise the capital it needs to expand, create new jobs and reach its full potential. It is a positive step forward that will eventually provide more avenues for promising tech companies in need of additional capital to continue growing. We look forward to President Obama signing it into law.”
The legislation (H.R. 3606) does the following:
- encourages more firms to file initial public offerings by exempting businesses with up to $1 billion in annual revenue from some Securities and Exchange Commission regulations for the first five years after going public;
- enables companies to offer up to $50 million in stock to the public without registering with the SEC, an increased from the previous threshold of $5 million;
- allows small companies selling securities under the SEC’s Regulation D to advertise their offerings, reversing the SEC’s ban on solicitation.
TechNet is the national, bipartisan network of CEOs that promotes the growth of technology industries and the economy by building long-term relationships between technology leaders and policymakers and by advocating a targeted policy agenda. TechNet’s members represent more than one million employees in the fields of information technology, biotechnology, e-commerce and finance. TechNet has offices in Washington, D.C., Palo Alto, Sacramento, Seattle, Boston and Austin. Web address: www.technet.org. You can also follow us on Facebook and Twitter at @technetupdate.
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