Disrupting Venture Capital
What are your options if you have a real business but there is a lack of engagement from venture capital?\xa0
In 2015, Congress implemented Title IV of the Jobs Act, which was intended to provide a process for startup companies to sell stock to the general public while remaining a private company.\xa0 \xa0
Why haven\u2019t you hear about this process, knows as a Reg A+?\xa0 The provisions of Reg A+ allow a company to raise up to 50 million, but there are compliance regulations, audits, SEC-mandated disclosures.\xa0 But the opportunity to sell stock to the public and create an investor base for funding future growth expands the opportunities for the startup community to develop new sources for funding.
My guest on this topic is William Santana Li, the Founder, and CEO of Knightscope, a company that provides autonomous robots for security services.\xa0 When Bill was not able to secure venture capital funding, he decided to use the Reg A+ process for a mini-IPO.\xa0 In this podcast, Bill will lay out the process, the motivations, the surprises and the due diligence he encountered.