The JOBS Act is Another ‘Big Job’ for Securities ProfessionalsMay / June 2012 – Articles NSCP Currents
Despite its name, the Jumpstart Our Business Startups Act (“JOBS Act”) revolves around private offerings, not job creation, unless you consider the extra work and worry that it will heap upon the already overwhelmed securities compliance professional. Although JOBS Act advocates clam that it will revitalize the initial public offering (“IPO”) market, three of the law’s six titles address private placements, and two others make it easier for a company to remain private. While the JOBS Act proposes big reforms, it leaves the details largely to the SEC, tasking it with developing enacting regulations. Thus, the JOBS Act should make it easier for companies to stay private, but it will require extra work for securities compliance professionals, who will need to monitor the regulatory developments related to these transactions.