Alkane Truck Company Utilizes Equity Crowd Funding
Alkane Truck Company Utilizes Equity Crowd Funding to raise needed capital. Why? Changes in Federal regulations that lower investor requirements are making crowd funding platforms a popular consideration for equity fundraising. Myrtle Beach, SC based Alkane Truck Company is developing a line of Propane Autogas (LPG) trucks for fleet, government, and off-road consumers in the Class 7, Class 8, and Sports / Government Utility vehicle classes. Alkane took a rather futuristic approach for this investment round by choosing StartEngine, a California based Equity Crowd Funding platform to raise investment capital.
The JOBS Act
The Jump-start Our Business Startups Act or JOBS Act, is a law intended to encourage funding of United States small businesses by easing various securities regulations. It passed with bipartisan support, and was signed into law by President Barack Obama on April 5, 2012. The Act requires the SEC to write rules and issue studies on capital formation, disclosure and registration requirements. All in effort to create less resistance and less costs for American companies to raise capital. Title III of the JOBS Act addresses crowdfunding as an intermediary funding portal. Up until now crowdfunding sites / companies were only allowed to operate on a reward or donation basis, essentially offering a product, discount, or enticement in exchange for monetary funding. With the launch of the JOBS Act, the ability for the general public to receive company equity in exchange for funding is now a possibility.
All eyes have been on the SEC to open the doors to equity crowdfunding. In July 2015 the SEC passed the rules for Regulation A+ a legal means for interested small businesses to raise up to $50,000,000 through crowdfunding portals online from accredited investors… and the general public. In the past companies could only raise capital from “accredited” investors until they reached a stage when they could “go public” with an IPO…a process that could cost hundreds of thousands of dollars. Raising money from the general public was not an option.
Why Start Engine?
Start Engine was originally developed as an “accelerator” for small businesses in the Los Angeles area. The JOBS Act and passing of Regulation A+ opened the doors for StartEngine to become a front-runner in the equity crowdfunding arena. We asked the question why Alkane Truck Company To Utilizes Equity Crowd Funding, and why StartEngine to the founder of the company. “With success stories like Elio Motors already under their belt, Start Engine made the most sense to us.” said Bob Smith CEO and founder of Alkane Truck Company. “Our campaign is a little bit different from others that have utilized this platform. Most of the companies before us are start-ups in the truest meaning of the term. They are in the conceptual phases. We actually have taken delivery of our first (prototype) of three vehicle launch. Our Class 7 cab over is ready for production, and we’re already setting up dealers, and taking orders for delivery. The Alkane Dominator™ (sports/government utility vehicle) will follow in 2017 with the roll out of our Class 8 in 2018.”
If you’re interested in pursuing this type of funding, do your research. There’s plenty of information available online. We used the SEC.gov, GPO.gov, and forbes.com websites for info used in this article. Visit https://www.startengine.com/startup/alkane-truck-company to see Alkane’s campaign.
Want To Be An Investor IN Alkane Truck Company?
Take advantage of new SEC Regulations affecting small investors. This campaign is currently in the “Test The Waters” Phase