Rule 505
Rule 505 provides an exemption for offers and sales of securities
totaling up to $5 million in any 12-month period. Under this exemption,
you may sell to an unlimited number of "accredited investors" and
up to 35 other persons who do not need to satisfy the sophistication
or wealth standards associated with other exemptions. Purchasers
must buy for investment only, and not for resale. The issued securities
are "restricted." Consequently, you must inform investors that they
may not sell for at least a year without registering the transaction.
You may not use general solicitation or advertising to sell the securities. |
