Crowdfunding is becoming legal today! According to TechCrunch, President Obama is set to sign the JOBS Act, which will make this alternative source of capital totally legit. Non-accredited investors will have access to the hottest –and riskiest – companies on the market.

Make sure you do your homework before you get seduced by the next big thing.

Under the new law, reports TechCrunch, ‘entrepreneurs can now raise money from any and all, however, start-ups are limited to $1 mn per year, and must stick to portals approved by the Securities and Exchange Commission.’

And, the 500-shareholder rule is a thing of the past. This is good news for Twitter and Gilt Groupe, but comes a little late in the game for Facebook.

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Source: TechCrunch

Photo: Richard ‘Tenspeed’ Heaven