How does it work?
In March 2017, the Knesset Finance Committee approved the Croedinvesting Regulations introduced by the Securities and Exchange Commission. These regulations are intended to encourage growth in the economy and the public's investment in start-ups and to enable the start-up business to raise additional capital, thereby responding to the existing credit crunch.
Approval of the new regulations and the completion of the legislation are real news for the high-tech entrepreneurs through which the new fundraising channel will open up access to additional capital sources to build prosperous companies, and for the investor community that has now opened a new investment alternative that allows them to become Israeli stock holders and startup companies. Part of the success of the startup Nation, which so far has been reserved for a handful of sophisticated investors (Angels).
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