Helping Angels Lead Our Startups Act

Floor Speech

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Mrs. WAGNER. Mr. Speaker, I thank Representative Chabot of Ohio for introducing this bipartisan piece of legislation as well as my colleagues on the Financial Services Committee, Congressman Hurt of Virginia and Congresswoman Sinema of Arizona, for sponsoring the legislation.

H.R. 4498, the Helping Angels Lead Our Startups Act, provides an important fix to our securities regulations that removes friction between entrepreneurs and the potential investors that are looking to support startup companies.

When we think about angel investing or venture capital, we naturally think of the Silicon Valley tech scene or the financial powerhouse of New York City.

However, more and more startups all across the country are using important changes under the JOBS Act in order to raise financing no matter where they are located. In fact, as reported in the St. Louis Business Journal, St. Louis has the Nation's fastest growing startup scene.

As more and more investors are drawn to the St. Louis area, these early-stage investments are critical for helping keep these companies in Missouri and creating more local Missouri jobs.

Yet, while St. Louis' startups have experienced tremendous growth recently, small businesses and startups everywhere are still having difficulty in obtaining financing and investment in today's economy at a crucial stage when they are trying to grow and expand.

The HALOS Act will make a small change that makes it easier for small businesses to find those vital investments. It would exempt demo days from general solicitation requirements that would put a burden on entrepreneurs and that would make it more difficult for investors to provide financing.

For those companies that are not yet ready to go public, it is important that they are given the opportunity to pitch their business ideas to those who are interested in learning more.

I urge passage of this bipartisan piece of legislation.

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