Back in July 2013, Italy was the first country in Europe to adopt a specific regulation for equity crowdfunding. The set of rules, which we described extensively in this post, allowed only the so called innovative startups to raise capital through online portals.
However an important news has arrived last week. The Italian government has in fact released an additional law which extends the possibility to use equity crowdfunding as source of finance also to “innovative SMEs” that is firms with less than €50 million annual turnover and that respect at least one of the following three requirements:
- 3% of either sales or costs (whichever the biggest) attributable to R&D activities.
- one third of employees has a degree or one fifth of the employees are doing or have done a doctorate program
- the company owns a patent.
The new rules will enter into effect in about sixty days and Italian lawmakers expect they will improve SMEs’ access to finance, while at the same time encouraging R&D and innovation. Hopefully this will also gear up the crowdfunding market in the Country, but we will evaluate the effects later in the year.
Read the whole article and more details on Crowd Valley Blog.