Amendments to British Columbia’s crowdfunding rules intended to provide B.C.-based issuers with greater access to capital via crowdfunding campaigns came into force July 13, 2017 as announced by the British Columbia Securities Commission on September 21, 2017.
The Amendments allow B.C. issuers to access investors in Alberta and permit investors who have obtained suitability advice from a registered dealer to invest up to $5,000 rather than the otherwise applicable maximum of $1,500. The Amendments are the result of the BCSC’s 2017 Tech Survey, following which the BCSC’s Tech Team recommended amendments to BC Instrument 45-535 Start-up Crowdfunding Registration and Prospectus Exemptions. Respondents to the Tech Survey had noted cross-jurisdictional harmonization as a big concern for crowdfunding and recommended increasing the permitted investment amounts under BCI 45-535.
As previously discussed, the BCSC initially adopted a crowdfunding regime in early 2015. Readers interested in B.C.’s crowdfunding regime, including BCI 45-535, should visit the BCSC’s Start-up Crowdfunding webpage for further information.