The unregistered sale of securities is illegal, but for a company qualifying for an offering exemption at the state and federal levels. The securities laws require that a company seeking to raise capital must do so in accordance with an exemption. This is the basis ...

When entrepreneurs start companies and need funding, they may not have direct relationships with high net worth family and friends who can fund their business ventures. When this is the case, entrepreneurs often turn to individuals who can connect them with the investors that they ...

Whenever entrepreneurs offer equity in their companies to investors, state and federal anti-fraud laws apply (whether they know it or not). Unfortunately, anti-fraud laws are easier to violate than entrepreneurs think, and the consequences can be quite severe. Officers and directors of the offending company ...