Crowdfunding bill approved by House committee
The House Commerce and Trade Committee today unanimously approved state Rep. Bronna Kahle’s bill helping small businesses by updating Michigan’s investment crowdfunding law, Michigan Invests Locally Exemption.
Kahle said crowdfunding has played an important role in helping people raise the capital they need to start and grow small businesses since Michigan first adopted rules allowing it in 2013.
“Crowdfunding has created numerous opportunities for start-ups by allowing Michigan residents to invest in Michigan-based businesses,” Kahle said. “Expanding these investment options to more businesses will provide opportunities for further economic growth in our state.”
Kahle recently welcomed Chris Miller, Economic Development Coordinator for the City of Adrian, and Kyle DeWitt, general manager and co-founder of Tecumseh Brewing Company, to speak in support of the legislation before the House Commerce and Trade Committee.
Tecumseh Brewing Company was the first Michigan business to use crowdfunding to come up with start-up costs.
“We didn’t come from money, so we really had to build from the ground up to get the funds we needed,” DeWitt said. “We owe a lot to crowdfunding. It was a great program for us. It allowed us to add 20 jobs to our community and help out with community service projects.”
House Bill 4305 now moves to the full House for consideration.