The SEC recently announced that it would be revisiting the finder exemption from broker-dealer registration first proposed in 2020. If adopted an exemption would simplify capital raising for small business, real estate sponsors, and early-career musicians by permitting success-based compensation to finders under limited circumstances. While this development is promising, for now transaction-based compensation continues to be unlawful.
Read MoreNearly five years after it was first proposed, the SEC appears to be returning its attention to the finder rule proposed during the the first Trump Administration.
Read MoreThe Securities and Exchange Commission has proposed a rule that would, under limited circumstances, allow unlicensed individuals to be compensated finders in certain securities transactions.
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