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(Some) Startups Can Lawfully Tweet to Test Investor Interest

Startups are now able to post a Twitter message about their stock or debt offering to gauge interest among potential investors, the U.S. Securities and Exchange Commission said this week. The announcement continues the SEC’s trend of warming up to social media, which began two years ago when it approved the use of posts on Facebook and Twitter to communicate corporate announcements such as earnings….

The SEC’s latest endorsement of social media only applies to companies looking to raise as much as $50 million a year. New small-business fundraising rules were approved in March, which increased the limit for capital raised to $50 million from $5 million to enjoy the perk of fewer required disclosures.

The changes were required under the 2012 Jumpstart Our Business Startups Act, which deregulated fundraising rules for small businesses. Firms that use Twitter to solicit investor interest must include a link to a required disclaimer that says the firm isn’t yet selling securities, the SEC said in this week’s announcement.

Via SEC Approves Tweeting by Startups to Test Investor Interest @ Bloomberg Business.

See, alsoJumpstart Our Business Startups (JOBS) Act @ SEC.gov

Others have tried, and now Facebook enters the workplace (formally) with Facebook@Work

At TechCrunch, Ingrid Lundgren reports on Facebook’s platform for businesses to create their own social networks.  She offers lots of useful detail, and correctly notes that some competing offerings in this space have failed (or just haven’t taken off): About six months ago, we reported that Facebook was working on a new product aimed squarely at…

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