Crowdfunding Exemption MI 45-108

Crowdfunding Exemption (MI 45-108)

The MI 45-108 Crowdfunding Exemption took effect on January 25, 2016. The regime enables start-ups and SMEs in their early stages of development to raise capital online from a large number of investors through a single registered funding portal.

A limit on the total amount that can be raised will be imposed on issuers. Investors are also subject to investment limits to help protect their exposure to highly risky investments.

Investment Limits

Non-Accredited Investors

$2,500 per investment
$10,000 in total in a calendar year (in Ontario)

Accredited Investors (other than permitted clients)

$25,000 per investment
$50,000 in total in a calendar year (in Ontario)
No investment limits for a permitted client (in Ontario)

Rules & Related Documents

View Rule 45-108: Crowdfunding

Annex A1 MI Crowdfunding 45-108 Annex A2 (Form 45-108F1) Crowdfunding Offering Document Annex A3 (Form 45-108F2) Risk Acknowledgement Annex A5 (Form 45-108F4) Notice of Specified Key Events Annex A6 (Form 45-108F5) Personal Information Form

Portal Registration

The registration of the funding portal is a key investor protection measure as registration addresses such things as potential integrity concerns that may apply to funding portals and the persons operating them, as well as potential concerns relating to conflicts of interest and self-dealing.

Registration Information & Forms:

Compliance Info Forms Frequent Forms

Questions?

If you have any questions about Crowdfunding exemptions, contact us.

nssc.Crowdfunding@novascotia.ca