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Keep in mind that putting money into a company is only half the equation. Getting it back out is the other half. The JOBS Act is saying anyone can invest, but t
by bsbechtel 11y ago
Keep in mind that putting money into a company is only half the equation. Getting it back out is the other half. The JOBS Act is saying anyone can invest, but those small time investors will now face the same risks employees at start ups that don't IPO face right now - their stock is worth essentially nothing.
This is also the same problem facing 2/3rds of our economy that are small businesses. They can't get access to financing for R&D because R&D doesn't produce immediate cash flow to service debt, and equity investors will never get their money out of a small business.