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What kind of funding is not allowed under Reg A+?

What kind of funding is not allowed under Reg A+?

RegA+ does not allow funding for the following:

  • Companies with headquarters outside the U.S. or Canada. It is fine to move or set up the legal headquarters in the US or Canada for international businesses.
  • Investment companies as defined by the Investment Company Act of 1940. Pure venture capital firms cannot use Reg A+. VC firms that are Debt based (minimum of 60% debt holdings) are allowed to use Reg A+.
  • Public companies. Non-reporting public companies are allowed to use Regulation A+.
  • Development stage companies with no business plan or purpose.
  • Companies issuing fractional, undivided interests in oil, gas, or mineral rights.
  • Companies disqualified under the “bad actor” rules.

That’s it. If your company doesn’t fall into one of those exclusions, you’re eligible.