Anonymous asked Legal & Compliance, LLC , 3/27/2019 ( 1 comment )

What does it mean for crowdfunding issuers to be able to "test the waters"?

3/27/2019,
Legal & Compliance, LLC replied:

Title III Crowdfunding does not necessarily allow test the waters, however Regulation A and other forms of offerings do.  In general testing the waters involves obtaining non-binding solitications of interest from potential investors in an offering.  By testing the waters and determining an interest in an offering, a company can decide whether it wants to proceed with that offering or not.  

 

Laura