In remarks to the Small Business Capital Formation Advisory Committee, Acting Chairman Mark T. Uyeda said he has asked U.S. Securities and Exchange Commission staff to explore ways to improve capital-raising opportunities for entrepreneurs and to enable retail investment in private companies. Uyeda highlighted two agenda areas for potential policy work. For emerging fund managers, he flagged concerns that disclosure requirements are not appropriately tailored for smaller advisers, which can create disproportionate compliance burdens and barriers to entry. For small public companies that are not listed on a national securities exchange, he emphasized the case for scaled disclosure and noted that unlisted issuers with a public float below USD 75 million are ineligible to use shelf registration statements, raising questions about whether investor protection concerns such as low liquidity and susceptibility to manipulation justify limiting these companies’ ability to access capital markets quickly.
U.S. Securities & Exchange Commission 2025-02-25
U.S. Securities and Exchange Commission acting chair directs staff to explore reforms to expand small-business capital raising and retail access to private companies
Acting Chairman Mark T. Uyeda of the U.S. Securities and Exchange Commission has directed staff to explore enhancing capital-raising opportunities for entrepreneurs and retail investment in private companies. Uyeda identified concerns over disclosure requirements for emerging fund managers and limitations faced by small public companies with a public float below USD 75 million. He questioned whether investor protection concerns justify restricting these companies' access to capital markets.