Washington, D.C. (PRWEB) March 12, 2012
Today the National Venture Capital Association (NVCA) delivered to Senate Majority Leader Harry Reid and Senate Minority Leader Mitch McConnell a letter with more than 700 signatures from entrepreneurs across the United States, encouraging the Senate to pass S. 1933, the IPO On-Ramp bill introduced last year by Senators Schumer (D-NY), Toomey (R-PA), Warner (D-VA) and Crapo (R-ID). The bill provides emerging growth companies with a temporary regulatory on-ramp and with an enhanced ability to communicate with investors in order to tackle the considerable road blocks that these companies have faced in the last decade when pursuing an initial public offering. The provisions passed the House of Representatives on March 8, 2012 as part of the JOBS Act, with a strong bipartisan vote of 390-23.
The letter reads in part:
“During the past decade, emerging growth companies have faced numerous new challenges when considering an IPO. The regulatory on-ramp provisions thoughtfully address many of these issues and, for the first time in years, will provide much needed support for small companies with big potential. As more than 90 percent of job creation occurs after a company goes public, there has never been a more important time than today to pass this legislation… The time has come to bring this legislation across the finish line. We urge you to pass S. 1933 and lead our country towards a new era of economic growth.”
Signatures were collected during a three day period of time last week and were submitted by CEOs, CFOs and Founders of start-up companies across the country, representing well over 200 American cities.
“We commend the U.S. Senate for spearheading this important legislation, and for moving forward in a thoughtful manner. Now, it’s time to see the fruits of that labor,” said Mark Heesen President of the NVCA. “The bipartisan support for this bill evidences the positive impact it will have on young companies that seek significant growth through the U.S. capital markets system. Passage of this bill will not only keep these companies on their respective growth trajectories, but it will accelerate them – and that can only mean more product development, more hiring, and more shareholder value for the long term.”
For a copy of the letter and signatures, please visit the NVCA website at http://www.nvca.org.
About the National Venture Capital Association
Venture capitalists are committed to funding America’s most innovative entrepreneurs, working closely with them to transform breakthrough ideas into emerging growth companies that drive U.S. job creation and economic growth. According to a 2011 Global Insight study, venture-backed companies accounted for 12 million jobs and $3.1 trillion in revenue in the United States in 2010. As the voice of the U.S. venture capital community, the National Venture Capital Association (NVCA) empowers its members and the entrepreneurs they fund by advocating for policies that encourage innovation and reward long-term investment. As the venture community’s preeminent trade association, NVCA serves as the definitive resource for venture capital data and unites its more than 400 members through a full range of professional services. For more information about the NVCA, please visit http://www.nvca.org.