U.S. Rep. Zach Nunn Representative for Iowa's 3rd District | Official U.S. House headshot
U.S. Rep. Zach Nunn Representative for Iowa's 3rd District | Official U.S. House headshot
The U.S. House of Representatives has passed the Encouraging Local Emerging Ventures and Economic Growth (ELEVATE) Act, a bipartisan bill introduced by Representative Zach Nunn from Iowa's 3rd District. This legislation aims to reduce regulatory hurdles for small and mid-sized businesses seeking capital through Initial Public Offerings (IPOs). The House approved the bill unanimously.
Representative Nunn addressed the House in support of the ELEVATE Act, stating: "When investment capital gets trapped on the coasts by large firms and D.C. regulators, it’s Iowa’s small businesses that suffer." He added, "The ELEVATE Act is a commonsense fix that would level the playing field for Iowa entrepreneurs looking to grow. It ensures that Main Street businesses are no longer sidelined by outdated rules written for Wall Street giants."
The proposed law seeks to modernize the Securities Exchange Act of 1934 by permitting Emerging Growth Companies (EGCs) to submit two years of audited financials instead of three. This change aligns requirements with current needs and reduces burdens on startups and small firms, facilitating easier access to necessary growth capital.
With approval from the House, the ELEVATE Act will proceed to the Senate for further consideration.
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