White House paves way for easier IPOs

The White House is expected to unveil fresh measures to boost small companies’ access to capital this coming Tuesday, in spite of the backlash that previous measures have received from state regulators.

The Obama administration’s proposals will relax existing anti-fraud regulations for smaller companies, ease the path towards initial public offerings and allow companies to raise funds from individual investors without the usual restrictions on selling securities.

The measures require congressional approval and are planned to be released on the one-year anniversary of the White House’s “Startup America” initiative, created in order to aid entrepreneurs as they launch fresh businesses.

Obama and his aides are keen on winning support from America’s small businesses after a rocky three-year relationship between the White House and corporate America.

Find out more about the reaction to these measures, which one critic dubbed “The Boiler Room Legalization Act of 2011.”