AUSTIN (KXAN) – Speaker of the House Joe Straus sent state representatives a list of interim charges last week, but this time committees were asked to focus on something they’ve never done before – starting a Kickstarter for Texas.
The crowd funding initiative was brought to Chairman Mike Villareal’s attention by businessmen in San Antonio. Rondero de Mosier and Nathan Roach said they hoped federal and state laws and regulations could pave the way for crowd funding to “democratize the investment process.”
The crowd funding system in Texas would serve as a fundraising tool for companies to sell small amounts of equity to a large group of investors. Straus’s office said the new system would enable people with average income to purchase an equity stake in startup companies and help Texas startups attract more local capital rather than competing with other startups for venture capital.
In the coming months the House Committee on Investments and Financial Services will conduct one or more hearings on the Speaker’s crowd funding charge and issue a report prior to the next regular session of the Texas Legislature in January 2015.