It is an alternative channel for SMEs and startups to access capital sources through issuances by offering equity or debt securities for sale. SEC assistant secretary-general Praoporn Senanarong said, “The debt crowdfunding scheme is part of the SEC’s regulatory efforts to support the governmental policy on promoting greater access to alternative financing resources for SMEs and startups to raise funds and expand their business growth. The new scheme follows a similar regulatory framework governing the existing equity crowdfunding rules.”Pursuant to the new regulations, an eligible fundraiser for the crowdfunding scheme must be a Thai company with a clear business plan. Currently, there are several companies interested in applying for an approval to operate a debt-funding portal business. The debt crowdfunding regulations have been in force since May 16, 2019.

Source: The Nation Bangkok May 22, 2019 08:15 UTC