Proposed Texas crowdfunding rules

Texas regulators will tackle crowdfunding in the coming months, and there are indications that the state’s first rules will be crowd pleasers.

The funding rules considered by the Texas State Securities Board would enable unaccredited investors to invest up to $5,000 a year in startups without requiring proof of large income levels. They would also streamline the process and loosen the reporting requirements for startups.

The final form of the rules is important to Austin because of the cluster of startups — especially technology companies — relying on investment capital to grow beyond the early stage. Also, it would come at a time when interest in such investing activity is at an all-time high in Central Texas.