Emerging FinTech companies like Lending Loop often face hurdles with securities regulators, particularly if their business models involve lending or investment platforms. Navigating the securities regulation landscape can be daunting, particularly for early-stage companies.
With this in mind, the Ontario Securities Commission recently announced the creation of OSC LaunchPad, a new resource for financial technology growth companies in Ontario. OSC LaunchPad is a client team dedicated entirely to helping FinTech companies navigate securities regulation. The goal is to accelerate time-to-market and increase flexibility for these companies, while still providing adequate protection for investors.
OSC LaunchPad’s support will be tailored to each business, providing informal and formal guidance regarding regulatory obligations and possible exemptions or other relief from registration requirements. The initiative is designed to make the province’s regulatory regime more flexible and responsive to the needs of early-stage and emerging FinTech companies, and to help make Ontario a leader in Canadian innovation.
After suspending operations due to regulatory issues, Lending Loop is now back in business. Now that OSC LaunchPad is up and running, Ontario FinTech startups – and their counsel, if any – should take advantage of this resource to avoid similar disruptions.