David Weild, often called the Father of the JOBS Act, provides an insightful discussion of how the JOBS Act originated and what should be done next.
Did you know that more than 50% of IPOs used to be small businesses? But federal regulations—that were promulgated to help protect investors–unintentionally removed all incentives for initial funding and support. The result was a substantial decrease in small business IPOS. In order to sustain a healthy economy, there must be a healthy stock market, which is fueled by a large number of startups. The JOBS act is intended to help by encouraging small business IPOs and expand the U.S. economy through startups and innovative investments.
The process that culminated in September of 2013 in the JOBS Act began in 2008 as a small initiative that grew and garnered significant support. After being brought to the House of Representatives, it was compiled into the six individual bills that now comprise the Jobs Act. It was a bipartisan initiative, backed by the White House, and then quickly passed by the Senate.
While the Jobs Act is set to get our economy back on track, there are some crucial elements missing. For example, a new division is needed to support a small IPO system that is focused solely on stocks, investors, issuers and intermediaries in aftermarket trading incentives.
Hear more about how the Jobs Act will develop as new frontiers are explored and opportunities discovered from David Weild, Chairman and CEO of Weild & Co. (Investment Banking Advisory) and head of Capital Markets Thought Leadership at Grant Thornton. His interview can be found in the Private Track for Accredited Investors and Angels for the CrowdFunding World Summit.
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