Form U-7 registrations become effective when they are declared effective by the division. The registration statement remains effective for up to one year. Form U-7 is not available to companies in the mining or oil and gas business. Selling agents have a due-diligence obligation as to the accuracy and completeness of the disclosure document. The division conducts individualized pre-filing conferences.
Conferences are setup on an as-needed basis and last for about two hours.
The division provides these conferences to help business persons in the often difficult area of capital raising. However, as a regulatory agency, the securities division cannot represent any company, so any desired legal representatives must be obtained through private counsel. SCOR filings that have been registered with the division are available to the public through a state Freedom of Information request. These filings may be a helpful guide to those contemplating a SCOR offering. A. Regulation A offerings are reviewed by both the SEC and state securities regulators so the level of disclosure may be more complex than Rule 504 SCOR offerings.