Crowdfunding and fintech in the U.S. enters a new era as the Securities and Exchange Commission unveils new regulations that will open crowdfunding to more SMEs and investors. Companies will be able to seek crowdfunding investments of up to $1 million without registering with the SEC, and individuals will be able to make investments within certain limits if they have incomes under $200,000 and assets at less than $1 million, the previous requirements.
PayPal took a five percent hit to its stock valuations and missed revenue goals. Analysts say misunderstandings about the fintech industry as well as creeping competition from companies like Samsung and Chase who have released new payment products could be affecting PayPal’s hold on the market.
IndieGoGo has released a number of new features, including pre-order and refund options as well as a new platform dedicated to charity that won’t charge as many fees to individuals and organizations raising funds for good causes.
British and American business institutes are joining forces to initiate the 2015 Americas Alternative Finance Benchmarking Survey, the first comprehensive of alternative finance efforts in North, Central and South America. The industry hasn’t taken hold in Latin America as it has in other regions, but the researchers have identified at least 50 platforms.
Reports The Economist,: “Data released on October 29th revealed that the outstanding stock of small-business loans in September was 20% lower in real (ie, inflation-adjusted) terms than it was four years earlier, when the Bank of England’s records on small-business lending begin (see chart). The stock of overdrafts to SMEs has fallen even more rapidly, though overdrafts make up only one-tenth of the firms’ total financing. But dig deeper and the situation does not look quite so bad. The decline in the loan stock in recent years is largely because firms have been repaying loans faster than new ones are issued.”