WASHINGTON, D.C. – Today, U.S. Senator Thom Tillis (R-NC) co-sponsored the bipartisan Helping Angels Lead Our Startups (HALOS) Act, legislation that would support small businesses by removing burdensome restrictions from individuals who want to invest in start-ups and help create jobs. The bipartisan legislation was introduced by Senators Chris Murphy (D-CT) and Pat Toomey (R-PA) and also co-sponsored by Senators Brian Schatz (D-HI), Kyrsten Sinema (D-AZ), and John Thune (R-SD).
In order to secure capital to grow their businesses, entrepreneurs commonly attend “demo days” or conferences that allow them to showcase their business in front of angel investors and venture capitalists. It is estimated that angel investors provide 90 percent of outside equity to help grow these startups. Due to recent burdensome regulations, angel investors have been deterred from attending demo days, which harms economic growth. The HALOS Act would preserve important investor vetting processes without forcing start-ups to jump through unnecessary hoops to get the investments they need to grow and create new jobs.
“Small business investors play a crucial role in allowing start-ups to grow and create more jobs, but too often face unnecessary regulatory requirements that deter investment,” said Senator Tillis. “This bipartisan legislation will remove burdensome regulations so we can invest in our small business and continue to grow our economy.”
U.S. Representative Steve Chabot (OH-1) and Brad Schneider (IL-10) introduced the HALOS Act in the U.S. House of Representatives. The bipartisan bill passed the House in the 115th Congress.
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