WASHINGTON, D.C. — Seeking to loosen a financial choke point for startups while preserving investor safeguards, a bipartisan pair of senators on Thursday introduced legislation that would raise the threshold at which small businesses must pay for costly accountant reviews when raising money through crowdfunding.
The Amendment for Crowdfunding Capital Enhancement and Small-business Support, or ACCESS Act, was unveiled by Sens. Dave McCormick and Andy Kim, aiming to modernize rules they say no longer reflect the realities of early-stage fundraising.
Under current regulations, startups seeking to raise $100,000 through crowdfunding must have their financial statements reviewed by a public accountant—a requirement that can cost about $10,000 per filing and consume at least 10 percent of the capital raised. The bill would lift that trigger to $250,000, allowing smaller offerings to proceed without mandatory reviews while keeping stricter oversight in place for larger raises.
Supporters argue the change would remove a disproportionate burden on young companies that rely on crowdfunding to validate ideas, reach early customers, or access capital unavailable through traditional loans.
“Crowdfunding can be particularly valuable for Pennsylvania entrepreneurs who may not qualify for traditional financing,” McCormick said, calling the measure a way to unlock capital while maintaining investor protections. Kim said the bill trims “one-size-fits-all” red tape that can stall startups before they gain traction, without weakening market integrity.
The proposal builds on the 2012 Jumpstart Our Business Startups Act, which eased securities rules to help small companies raise money from everyday investors. Since Regulation Crowdfunding took effect in 2016, more than 6,500 businesses have raised nearly $2.4 billion across about 8,400 investment rounds, according to figures cited by the sponsors.
Beyond raising the accountant-review threshold to $250,000, the ACCESS Act would also allow the Securities and Exchange Commission to increase the limit to $400,000 if recommended by its advisory offices, giving regulators flexibility to adjust as markets evolve.
Pennsylvania stands to be a major beneficiary. The state ranks fifth nationally in total crowdfunding issuers, with more than 330 companies tapping the funding channel since 2016.
Backers frame the bill as a recalibration rather than deregulation—one that concentrates compliance where risks are higher and eases entry for entrepreneurs trying to get off the ground. The legislation now heads to Congress, where it will test whether bipartisan agreement on startup finance can translate into updated rules for the crowdfunding era.
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