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SEC Accepts Public Comment on Private Securities Offering Exemptions

SEC Accepts Public Comment on Private Securities Offering Exemptions


Last month, the Securities and Exchange Commission released a request for public comment on how to improve the current exempt offering structure. Through this process, the Commission is seeking to broaden opportunities for investment while continuing to protect shareholders. The call for comment is directed towards startups, investors, and entrepreneurs who have worked within the existing exempt offering framework.

The emphasis of this evaluation is to optimize the “consistency, accessibility, and effectiveness of […] exemptions for both companies and investors,” according to the Commission. There are five key questions open for input:

  1. Do the parameters around who can invest how much in exempt offerings provide reasonable protections for investors, or do they impede on access to investment opportunities?
  2. Should the Commission make efforts to ease a company’s movement from one offering to another?
  3. Should the Commission provide companies greater ability to use pooled investment funds to raise capital?
  4. Should retail investors receive more opportunities to work with growth stage companies through closed-end pooled investment funds?
  5. Should the Commission review and revise exemptions which apply to secondary trading of securities issued in exempt offerings?


If you would like to give input regarding the future of the regulatory structure of exempt offerings, Comments can be directed to the Commission on or before September 24, 2019.

To submit comments:

  1. Visit the comment form at;
  2. Send an email to and include “File Number S7-08-19” in the subject line; or,
  3. Mail comments to Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC 20549-1090.