The media has been all over Title II of the JOBS act and the effect this will have on crowdfunding given that those seeking to raise funds are now able to solicit investment from accredited investors which should have levelled the playing field a bit more between UK and US based equity crowdfunding sites but actually may have made the divide a little further. Prior to this change investors in both countries could simply self-certify as either sophisticated (in the UK) or accredited (in the US). While both countries still allow for self-certifications, in the US the onus for verifying accreditation has now been placed squarely on the companies seeking funding leading many to require proof or risk a downstream backlash from investors who later turn out to be un-accredited and claim to have been sold / mislead on what they were getting into. For the time being, the UK has a slightly more relaxed approach to handling the certification and to where the blame is put down the line if itturns out the investor is not actually sophisticated. Speaking about regulation is not the main point of this missive. Even if regulations were identical (which they will eventually approach) there are a number of initiatives taking place in the UK which keep the UK on the cutting edge of equity crowdfunding and will ensure that the proportion of the population involved in equity crowdfunding will remain higher than that of the US. I use proportion here as the size of the US Market is roughly 5x the UK market which would make comparing on absolutes a bit lopsided. With that in mind, here are a the top 3 reasons the UK will continue to lead: Government tax incentives for investing in start-ups: While the US has flirted with tax incentives in the form of reduced capital gains tax on early stage venture investments and even reduced capital gains on these investments to Zero for a short period of time as a part of the Small Business Jobs act of 2010, the UK governements Enterprise investment Scheme (EIS) and Seed Enterprise Investment Scheme offer not only Capital Gains Reductions but also tax liability reductions and loss relief in the event that the start-up fails. For investors who dont owe capital gains, the SEIS relief can cover over 70% of the investment meaning investors are only at risk for 30% of what they put up. Fewer Angel Investors: The UK Business Angel Association sticks Angel Investment in the UK at roughly 850 Million per annum. In the US the figure has surpassed the $20 Billion mark and is continuing to grow.
Alternative medicine lacks regulation By India Stoughton | October 10, 2013 12:25 AM Alternative medical treatments are becoming ever more popular in Lebanon. Holistic treatments such as reiki, acupuncture, homeopathy and Chinese herbal medicine are catching on with the public. Refugee protest in France defused by authorities October 07, 2013 12:22 AM Around 60 Syrian refugees who occupied the ferry terminal in the French port of Calais have left the premises partially achieving their demands. By Brooke Anderson | October 03, 2013 12:19 AM Until recently, smoking nargileh was a pastime typically enjoyed by grandmothers and grandfathers across the Arab world. Former BBC radio host faces two further sex charges By Christine Murray | October 02, 2013 09:17 AM One of Britain’s best-known radio presenters from the 1970s and 1980s, who counted Myanmar’s Aung San Suu Kyi among his fans, was charged with two further sex offences on Tuesday on top of 12 other sex charges. UK Cameron’s party pledges budget surplus if it wins election By Guy Faulconbridge, Andrew Osborn | September 30, 2013 07:42 PM Finance minister George Osborne promised he would continue to cut spending to wipe out Britain’s budget deficit if the Conservatives won the 2015 election, but signalled there could be more money for infrastructure investment. British man arrested in Kenya after mall siege September 25, 2013 12:32 PM The Foreign Office has confirmed that a British man has been arrested in Kenya following the siege at an upscale mall that has left dozens dead. Syria regime would call for ceasefire at Geneva talks: deputy PM September 19, 2013 10:30 PM The Syrian government believes the civil war ravaging the country has reached a stalemate and would call for a ceasefire if long-stalled peace talks in Geneva were to take place, the deputy prime minister told Britain’s Guardian on Thursday. Damascus says West trying to impose will on Syrian people September 17, 2013 11:49 AM Damascus accuses the West of trying to impose its will on the Syrian people, after major powers said they would press for a UN resolution to rid Syria of chemical arms. Eleven G20 states urge ‘strong response’ to Syria chem attack September 06, 2013 06:02 PM (Last Updated: 06/09/2013 06:45 PM) Eleven G20 states call for a “strong international response” to a chemical weapons attack in Syria they said was clearly carried out by the regime. Syria rebels attack regime-held Christian village By Karin Laub | September 04, 2013 09:44 PM A nun and activists say rebel fighters have attacked a regime-held, predominantly Christian village, commandeering a mountaintop hotel and shelling the ancient community from there. British Embassy calls for scholarship applications September 04, 2013 12:22 AM The British Embassy in Beirut has issued its annual call for graduates keen to continue their education in the U.K. with the launching of the 2014-15 edition of the Chevening Scholarship. September 02, 2013 05:44 PM (Last Updated: 02/09/2013 06:11 PM) Friends of Syria representatives, probably foreign ministers, to meet in Rome on Sept. 8: Diplomatic source Putin aide says British vote reflects dangers of Syria strike August 30, 2013 01:42 PM The British parliament’s refusal to authorise a potential strike on Syria showed a growing understanding of the risks of military intervention in the conflict, Russian President Vladimir Putin’s senior foreign policy adviser said on Friday.