CATA Letter to Premier Designate Wynne: Equity-Based Crowdfunding
February 14, 2013

February 8, 2013,

Dear Premier Designate Wynne: 

I am President and CEO of CATAAlliance.  CATAAlliance was founded in 1977 and today is the largest high-tech association in Canada.  CATAAlliance’s mission is to help maintain Canada as a competitive place to do business and develop world-acclaimed technology products and services.

First, on behalf of CATAAlliance, we congratulate you on your upcoming swearing in as Premier of Ontario. 

We are writing urgently to encourage you to include a line in the upcoming Throne Speech in support of equity-based crowdfunding.  As you may know, on November 29, 2012, the Minister of Economic Development and Innovation Brad Duguid publicly announced his support for equity-based crowdfunding.  On the strength of that support as well as strong interest from the public, the Ontario Securities Commission is the course of formal public consultations on necessary changes to securities laws to permit crowdfunding.  We urge you to signal to the OSC that the new Ontario Government continues to support this important initiative.  Crowdfunding represents a tremendous opportunity to democratize access to capital, provide funding for start-ups and small businesses, and stimulate and foster innovation and job creation - all at no cost to the Treasury.  Ontario cannot afford to fall behind in the rapid global adoption of crowdfunding and it is critical to maintain the momentum that has been build to date.

We suggest that the following line be included in the Throne Speech:  "We recognize the potential benefits of equity-based crowdfunding.  We support the Ontario Securities Commission in its current public consultation process and other efforts to enable crowdfunding on a basis that both protects investors and fosters innovation."

If you have any questions, please do not hesitate to contact me at 613-236-6550.

Yours sincerely,

John Reid,

President and CEO. CATAAlliance

 

cc.           Brad Duguid, Minister of Economic Development and Innovation

                Yasir Naqvi, MPP, Ottawa Centre