For new investors for Austin startups, you may want to look at the new crowdfunding rules introduced on Monday by the Financial Industry Regulatory Authority and the US Securities and Exchange Commission. Known as Title III, the new rules would allow investors to invest and get equity stakes by up to $2,000 or 5% of their annual income for crowdfunding programs that can be worth $1 million for a year. Many groups such as the National Venture Capital Association supports the new rules because this will help startup companies grow. However, some express worry such as later-stage funding rounds that may cause small investors to back out due to being partnered with larger investors.
Read more about this here: Want to invest $2K in an Austin startup? New crowdfunding rules in effect