House of Representatives Passes the JOBS Act
Thursday, March 8, 2012
The House of Representatives overwhelmingly passed the "Jumpstart Our
Business Startups (JOBS)" Act this week, where it now heads to the
Senate for consideration. This represents one of the first bipartisan
job growth packages that is expected to be signed into law this year.
strong bipartisan support for this legislation shows that when Congress
works together, we can help empower our start-ups and job creators to
deliver new innovations and life-changing products," said Mark Leahey,
President and CEO of MDMA. "America's medical technology innovators are
overwhelmingly small businesses, with many of the cutting-edge devices
being developed by start-ups."
The JOBS Act is combination of several smaller bills authored by Members of the House. Some of the provisions include:
- Making it easier for small companies to go public by providing them a
temporary reprieve from Securities and Exchange Commission regulations;
- Removing SEC restrictions preventing small businesses from using advertisements to solicit investors;
- Removing SEC restrictions on "crowdfunding" so entrepreneurs can
raise equity capital from a large pool of small investors; and,
- Raising from $5 million to $50 million the ceiling for shares a
private company can sell as part of a public offering before having to
register with the SEC.
Leahey noted that while the JOBS Act is a step in the right
direction, MDMA continues to urge Members of Congress to also repeal the
medical device tax which is already proving to be a huge hurdle to
innovation and job creation.