April 24th, 2017
Crowdfunding Standards Board
About NCFA Canada's Crowdfunding Standards Board
The Crowdfunding Standards Board (CSB) is a sub-committee of the National Crowdfunding Association of Canada (NCFA Canada), a registered Canadian not-for-profit corporation. The CSB draws on the expertise of lawyers, accountants, entrepreneurs, regulators, anti-fraud investigators, bankers, payment processors and investors to create crowdfunding standards for portals and issuers raising capital from the crowd.
While we recognize that the Canadian crowdfunding industry is still nascent, the intent of the CSB is to work towards publishing Canadian crowdfunding standards to help protect investors and participants from fraud, mismanagement and poor investments opportunities by promoting transparent and fair crowdfunding practices.
Initially, CSB standards will be designed to serve as an industry benchmark for service providers, issuers and a wide variety of industry participants to use as a guideline (or checklist) when raising money online, particularly with equity crowdfunding investments.
As various provincial crowdfunding rules are adopted and the Canadian crowdfunding industry matures and achieves due growth, CSB standards will help prevent and detect corporate fraud and provide effective remedies where fraud or mismanagement are suspected.
Our crowdfunding standards will be developed and overseen by a board made up of professionals who have years of experience detecting, investigating, prosecuting, litigating and reporting on corporate fraud as well as creating and growing successful business. Our standards aim to balance investor participation and risk mitigation with the efficient and affordable operation of crowdfunding businesses.
Mission and Objectives
The National Crowdfunding Association of Canada's mandate is to create a strong and vibrant crowdfunding industry across Canada. To do this, the Crowdfunding Standards Board was created to build crowdfunding excellence through common standards of practice and strengthen confidence in the ecosystem.
The CSB standards were drafted to encompass the following core principles and objectives:
- Transparent Investment Opportunities
- Early Fraud and Mismanagement Detection
- Affordability for Issuers
- Efficiency by Leveraging Technology
- Effective Dispute Resolution
- Canadian Job Creation and Business Growth
- Director and Management Accountability
- Meaningful Ongoing Disclosure
- Fairness and Equality
Standards Board Members
The Crowdfunding Standards Board is led by CSB committee chair, John Wires, and Craig Asano, Executive Director of NCFA Canada. If you would like to get involved with the CSB committee please contact John or Craig, please use the following emails: John (firstname.lastname@example.org) or Craig (email@example.com).
Doug Cumming, J.D., Ph.D., CFA, is a Professor of Finance and Entrepreneurship and the Ontario Research Chair at the Schulich School of Business, York University.
Myles Harding, Managing Director, Inline Reference Check
The National Crowdfunding Association of Canada (NCFA Canada) is a cross-Canada crowdfunding hub providing education, advocacy and networking opportunities in the rapidly evolving crowdfunding industry. NCFA Canada is a community-based, membership-driven entity that was formed at the grass roots level to fill a national need in the market place. Join our growing network of industry stakeholders, fundraisers and investors. Learn more About Us | Support Canadian Crowdfunding