Modern Commercial Financing: Your Guide to Regulation A+

Attracting capital remains challenging for most investors due to regulatory burdens, higher capital costs, and the high risk, high return nature of venture capital. Often, capital projects won't get off the ground unless projected returns are above market rates. This "mini-IPO" or "on-ramp to IPO" allows investors to raise up to $50 million in a 12 month period from the general public, with streamlined initial and ongoing compliance costs. This means a greater pool of investors without all of the costs of a traditional IPO or without the need to have a predetermined list of investors.

Davis & Kuelthau is at the forefront of Regulation A+ and its trending benefits for clients. It is estimated that less than $500 million has been raised using Regulation A+ in 2015 whereas in 2016 alone more than $490 billion in mortgage loans had closed. We have created this resource page to share articles, seminars and other materials to provide you with the tools needed to utilize the Regulation A+ rules to raise capital from accredited investors and institutions in addition to more than 75 million non-accredited investors.


Related Articles:

  • Regulation A+: An Alternative to Private Placements and Initial Public Offerings

    May 4, 2017

    Regulation A+ went into effect in 2015. Although Regulation A+ has been around for a couple of years, its use is just beginning to become more mainstream. Since Regulation A+ was promulgated, the SEC has qualified 81 Regulation A+ offerings seeking to raise approximately $1.5 billion. As developers and investors gain more awareness of, and comfort with, Regulation A+, it is likely to completely change the way developers and investors raise the equity necessary for a new project or acquisition. Regulation A+ (sometimes referred to as a “mini-IPO” or as an “on-ramp to IPO”) allows investors to raise up to...



  • Alternative Financing Strategies in a World of Rising Interest Rates

    February 16, 2017

    Mortgage interest rates increased through 2016 and are expected to increase periodically throughout the coming year. Because higher interest rates can make traditional financing for a commercial real estate project more expensive, other financing options should be considered to stabilize or reduce the cost of capital necessary to complete a commercial real estate project. Larger real estate projects often use a variety of financing sources to fund the acquisition and improvement of commercial real estate. This combination of different financing sources is referred to as a “capital stack.” As mortgage debt becomes more expensive, a diverse capital stack can reduce the...




Related Seminars:

  • Lorman CLE Webinar | The Impact of Regulation A+ on Real Estate Development

    August 31, 2017

    Real estate attorney, Michael Van Someren and tax attorney, Mark G. Kmiecik held a in depth discussion covering Regulation A+ rules, including how they can be used to facilitate real estate projects, how to use these rules to raise capital from accredited investors, and the process required to complete a Regulation A+ offering. This online webinar was hosted by Lorman Education Services and took place on Thursday, August 31 from 12:00 PM - 1:30 PM. Because Mike Van Someren is a faculty member for Lorman, Davis & Kuelthau’s guests receive 50% off the registration fee. Please visit this link for more program...



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