This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Amidst Employment Anxiety, Are the JOBS Act Haters Justified?

"It's not the JOBS Act itself but rather the SEC's failure to implement rules in the JOBS Act that could be beneficial to startup and early stage companies, despite specific time deadlines in the Act itself, that has frustrated Congress' intention in the JOBS Act," Williams said.

The intricacy of this game-of-charades slowdown is classic Washington.

"The battle is more between the wishes of the legislative branch and the regulatory bureaucracy," said Grafton "Cap" Willey of CBIZ MHM, a New York-based public accounting provider and management consulting firm. "Congress and the President have seen the fact that raising capital for small business has been a major problem since the passage of Sarbanes Oxley, and they tried to address it with the JOBS Act." The SEC, under the leadership of Mary Shapiro, was not enthusiastic about the concepts and has dragged its feet on implementation. The state regulators do not like the bill because their authority is superseded in many cases by the bill.

"The pessimism revolves around whether or not the regulations when issued will be designed with enough flexibility to make the JOBS Act work or whether they will be so restrictive that they are designed to kill it," Willey said. "The lines are drawn between the people that recognize that small businesses need investment capital, and those willing to make such investments recognize the risks and rewards that these types of investments are, and those people that are paternalistic and believe that most investors are not smart enough to make these investment decisions and need governmental protection."

But Albright says that casting crowdfunding in a beguiling light is unfounded.

"There are a lot of skeptics out there who view crowdfunding as the next penny stock market," Albright said. "That couldn't be farther from the truth. People who are looking at crowdfunding who are looking at it through viewing it the old Wall Street way. Wall Street is undergoing a dramatic transformation. Crowdfunding is basically based on the same principles that built America in the first place--allowing Americans to invest in the ingenuity of their fellow Americans."

3 of 5

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,279.74 +13.75 0.08%
S&P 500 2,010.40 -0.96 -0.05%
NASDAQ 4,579.7890 -13.6380 -0.30%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs