Thursday Morning, Congressman Bill Huizenga (MI-02) spoke on the House floor in support of H.R. 1219, the Supporting America’s Innovators Act of 2017. This legislation would allow small businesses and startups more flexibility in raising capital so they can continue to grow and hire more employees. The JOBS Act, passed in 2012, allows smaller companies to increase their income by increasing the amount of investors a company has, however a cap remained on the amount of groups of investors a small business may have, stifling possible small business growth in today's crowdfunding society.
Representative Bill Huizenga explained what the bill would do. "H.R. 1219, the Supporting America’s Innovators Act, a bipartisan bill introduced by Reps. Patrick McHenry and Nydia Velazquez, would amend the cap currently contained in the Investment Company Act to allow 250 investors for a “qualified venture capital fund” and therefore enhance angel investors’ ability to provide important funding to small businesses." A Harvard report by William R. Kerr, Josh Lerner, and Antoinette Schoar provides evidence that angel-funded startups are more likely to succeed than companies that rely on other forms of initial financing. H.R. 1219 passed with a vote of 417-3.