Too many times on the independent contractor sites (e.g., Upwork, Outsource, Freelancer, and Thumbtack) ads are posted by eager entrepreneurs soliciting proposals for a business plan where the intent it to raise funds from passive investors. The ageless Howey proposition remains: an investment contract involves i) an investment of money, ii) in a common enterprise, and iii) where profits are derived solely by the efforts of others. It may prove to be a hard lesson when the unwary upstart's project fails to pan out and federal and state agencies investigate for securities violations. This webcast helps business plan consulting professionals distinguish between passive and active business management factors that distinguish protected by securities laws from those that are not. The former requires a Private Offering Memorandum and not a business plan. The latter requires business partner acknowledgements in the business plan to protect the business plan consulting professional from claims of aiding and abetting violations of federal and state securities laws.
Elements of a Private Offering Memorandum
Business Plan Elements: The SBA Format
Securities Law Violations and Defensive Business Plan Acknowledgment
**Please Note: If you need credit reported to the IRS for this IRS approved program, please download the IRS CE request form on the Course Materials Tab and submit to [email protected].
Delivery Method: Individual webcast
CPE Credit: Taxes
Program Level: Intermediate