Don’t Expect New Crowdfunding Rules to Create a Startup Boom

Seed funding isn’t in short supply.

by

Walter Frick

by

Walter Frick

May 16, 2016

Investing in startups is no longer limited to the wealthy in the U.S. The New York Times reports, “Starting Monday, new rules will permit anyone, not just the moneyed, to risk $2,000 a year or more investing in small companies in exchange for a stake in the business. Companies can raise up to $1 million a year this way.”

Walter Frick is a contributing editor at Harvard Business Review, where he was formerly a senior editor and deputy editor of HBR.org. He is the founder of Nonrival, a newsletter where readers make crowdsourced predictions about economics and business. He has been an executive editor at Quartz as well as a Knight Visiting Fellow at Harvard’s Nieman Foundation for Journalism and an Assembly Fellow at Harvard’s Berkman Klein Center for Internet & Society. He has also written for The Atlantic, MIT Technology Review, The Boston Globe, and the BBC, among other publications.

Don’t Expect New Crowdfunding Rules to Create a Startup Boom

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