U.S. Securities & Exchange Commission Acting Chairman urges simpler offering exemptions and updated accredited investor and accelerated filer thresholds

In remarks at the 44th Annual Small Business Forum, U.S. Securities & Exchange Commission Acting Chairman Mark T. Uyeda outlined areas where he said the Commission should consider changes to make capital formation rules more workable for smaller companies while maintaining investor protection. For early-stage fundraising, he argued that offering exemptions should be designed to avoid disproportionate compliance costs, particularly legal fees driven by unnecessarily complex rules. For growth-stage companies and smaller funds, he highlighted the question of retail investor access to private companies and suggested revisiting the accredited investor framework, including whether additional qualification pathways are appropriate or whether a limited annual investment amount for all individuals should be considered. For small-cap public companies, he pointed to a lack of proportionality in ongoing reporting obligations, noting that accelerated filer and large accelerated filer thresholds have not been updated since 2005 and that overlapping filer categories can result in inconsistent requirements for auditor attestation of internal control over financial reporting. Uyeda said he expects to receive panel readouts and review policy recommendations generated through the Forum process.