Comprehensive Legal Counsel For Securities-Related Funding
Lerman Law Associates, P.C., provides legal services in matters concerning securities, particularly as it relates to corporate capital advisement for businesses. The firm solves securities-related funding concerns for clients throughout Fulton County, Cobb County, the Atlanta metropolitan area and nationwide.
If you are looking to finance a new business venture, to maintain business investment and fundraising sources for an established business or to otherwise increase wealth through a fund, founding attorney Craig Lerman can provide the comprehensive counsel you need.
As an attorney with more than a decade of experience in securities law and investment matters, Mr. Lerman can guide you through your options regarding corporate capital fundraising, including securities investments, hedge fund formation, and maintenance and crowdsourcing. He can do this while ensuring your compliance with Securities and Exchange Commission regulations.
Your Securities Funding Options
The following is a brief overview of the securities-related services of Lerman Law Associates, P.C.:
- Corporate capital issues. The firm collaborates with entrepreneurs, business owners and investors seeking sources of corporate capital to finance new businesses or to reinvigorate existing businesses.
- Regulation A
- Regulation D. The firm ensures clients’ funding structures are compliant with corporate governance and securities regulations, including the Securities Act of 1933 and its exemptions enumerated in Regulation D. This includes Rule 504, Rule 506(b) and Rule 506(c). The firm assists clients in qualifying for Rule 506 exemptions to Securities and Exchange Commission (SEC) filings, in accordance with recent SEC rule changes.
- Hedge fund issues and private equity fund. The firm assists fund advisers and investors to effectively create, manage and maintain hedge funds and private equity funds while increasing value and ensuring compliance with SEC and state regulations.
- Crowdfunding concerns. The firm assists new and established businesses in both soliciting and raising funds by selling small amounts of equity to many investors through crowdfunding.
Frequently Asked Questions About Securities Law
Understanding how different securities regulations affect your Georgia business’s funding options can empower you to make appropriate choices. Below, we Lerman Law Associates, P.C., can explain your options and facilitate legal compliance for your Atlanta metropolitan area business.
What is a Regulation D exemption, and how can it help my business raise capital?
A Regulation D exemption is a financial safe harbor that can speed up the process of securing outside investment without making a traditional public offering. There are several key rules under Regulation D that allow organizations to sidestep the lengthy and complex process of a traditional initial public offering (IPO).
- Rule 504 permits up to $10 million in fundraising within 12 months from accredited and nonaccredited investors, but public advertising is prohibited and the securities remain restricted.
- Rule 506(b) allows unlimited capital from accredited investors and up to 35 nonaccredited investors, provided the offering is conducted privately.
- Rule 506(c) authorizes public advertising to raise unlimited capital but limits participation to verified accredited investors.
The Lerman Law Associates, P.C., team knows how to structure these exemptions to safely open up capital for Georgia businesses while ensuring adherence to federal and state securities requirements.
What are the legal risks of using equity crowdfunding for my startup?
The primary legal risks of crowdfunding include concerns about regulatory compliance and the possibility of investors alleging misrepresentation. Companies that engage in crowdfunding must file Form C with the SEC outlining their initial offering statements. They must also provide annual reports.
They are liable for any misrepresentations or failures to disclose material information. Typically, any company with a prior security law violation or leaders with specific criminal records may not be eligible for crowdfunding exemptions under current SEC rules.
What legal steps are required to form a hedge fund or private equity fund?
Forming a hedge fund or private equity fund involves complex legal and regulatory steps that must be executed with precision. The process requires structuring multiple entities, drafting operating agreements and preparing a comprehensive private placement memorandum that accurately discloses strategy, risks and compensation.
Fund managers must also navigate SEC regulations, state‑level securities laws and potential registration requirements. Additionally, anti‑money‑laundering and counter‑terrorism financing protocols must be implemented at the outset. With over a decade of experience, our team ensures each fund is structured compliantly from day one, protecting both managers and investors throughout the offering and ongoing operations.
Schedule An Appointment
To discuss your securities legal needs with our attorneys, call 678-888-5773 or contact us online. From our offices in Alpharetta and Kennesaw, we serve clients throughout the Atlanta metro area and provide options for virtual consultations.