By Mark Easley Sr.
The NC PACES Act, “Providing Access to Capital for Entrepreneurs and Small Business”, was signed
into law today by Governor Pat McCrory. The bill passed both the NC Senate and
NC House by unanimous votes during the short session, and North Carolina now joins over 30 other
states that have passed similar laws. The NC PACES Act enables a new way to
finance startups and small businesses in our state known as investment
crowdfunding.
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Kevin Herrington, Mark Easley, Benji Jones, Gov. McCrory, Secretary Skvarla, Senator Barringer
at the signing of the NC PACES Act investment crowdfunding bill. |
The creation and passage of
the NC PACES Act investment crowdfunding exemption was a team effort by the General Assembly, the NC Secretary of State Securities Division, the NC Commerce
Department, the Governor’s office, and our North Carolina startup community and small
business supporters. The bill was originally co-authored by former
Representative Tom Murry, and the
now retired head of the Securities Division David Massey, and was at the time
known as the NC JOBS Act. This exemption became a model piece of legislation
that was used as the basis for many of the crowdfunding exemptions passed in
other states. Many thanks are due to Tom and David for creating this
groundbreaking securities law concept which is now helping to finance small businesses and
create jobs all over the country. The bill was then brought to the Senate with
some enhancements by chief sponsor Senator Tamara Barringer, and became known
as the NC PACES Act. We are grateful to Senator Barringer for her hard work and
advocacy for the bill.
We would also like to thank
all of those in the executive branch who supported and advocated for the bill,
including Governor McCrory, Lieutenant
Governor Forest,
Secretary of State Marshall, Commerce Secretary Skvarla, and their staffs
including Mike Arnold, Kevin Harrington,
Ashley Jones, John Hardin, and all those who contributed to the effort.
On the legislative side we
would like to thank the other chief sponsors of the bill including Senator Gunn
and Senator Hise, and Representative Shepard and Representative Hastings and
their staffs. In addition, NC Congressman Patrick McHenry, who created the
federal JOBS Act, also supported our efforts.
The North Carolina startup and small business
communities are supporters of the bill. We would like to thank the following supporters:
Joan Siefert-Rose – CEO of
CED and staff
Larry Robbins – Founder and
partner at Wyrick Robbins
Joseph
Nixon – NC Biotech Center
Bill Warner – Entredot
Small Business Accelerator
Jim Roberts - Wilmington startup community leader
Dan Roselli - Charlotte startup community leader
Chris
Heivly and Dave Neal – Startup Factory
Jason
Widen – HQ Raleigh
Adam Kline – American
Underground
John Austin – Groundwork
Labs
Lister Delgado – IdeaFund
Partners
Wade
Fulghum and Lewis
Sheets – NC State Entrepreneurship Initiative
Brooks
Raiford – NC
Technology Association
John Demers – Film and TV
production community leader
The NC Chamber
We would also like to thank
the local press that provided balanced coverage of the bill and its
importance to North Carolina small business over the last several legislative sessions: Rick Smith of WRALTechwire, Laura
Baverman of exitevent.com, Lauren Ohnesorge of Triangle Business Journal, and
Mark Binker of WRAL.
Last but not least, I want
to send very special thanks to our small but dedicated NC PACES Act team that
voluntarily worked hard to make this happen, and to give back to the community
and state. None of this could have happened without the dedication and hard
work of this team:
Benji Jones – Partner at
Smith Anderson
Jim Verdonik – Partner at
Ward and Smith
Brooks Malone – Partner at
Hughes Pittman Gupton CPAs
Steve Reaser – Small
businessman
Nick Bhargava – Co-founder
of real estate crowdfunding site Groundfloor
Mital M. Patel – Attorney at
Wyrick Robbins
When we work as a team,
good things happen. Thanks to all for your efforts.
Best regards,
Mark Easley Sr.
NC PACES Act Team leader,
Startup and small business advisor, and
crowdfunding advocate
