H.R. 4171 · Where this bill is now
Waiting for a House vote
Approved by committee Mar 25, 2026; no House vote yet
What this bill does
In plain words · AI-written from the official summaryExempts small securities offerings from SEC registration
The SEC normally requires companies to register securities (basically, shares or investment products) before selling them to the public. This bill creates an exception for micro-offerings, which are when a company sells up to $500,000 worth of securities within a 12-month period. Companies with certain criminal convictions or professional discipline issues wouldn't qualify for this exemption.
How it affects you
If you're a small entrepreneur or startup founder, this could make it easier and cheaper to raise money by selling securities without going through the full SEC registration process. Investors considering these smaller offerings should know they'd have less regulatory oversight than with registered securities, though the SEC still prohibits offerings from people with serious financial crimes or major disciplinary records.
Read the official summary (Reported to House, Mar 25, 2026)
Small Entrepreneurs' Empowerment and Development Act of 2025 or the SEED Act of 2025
This bill creates an exemption to securities registration requirements for a micro-offering of securities. In general, the Securities and Exchange Commission (SEC) prohibits the offering or selling of securities unless the offering is registered with the SEC or the offering qualifies for an exemption from registration requirements.
The bill defines a micro-offering as an aggregate amount of securities offered or sold by an issuer that does not exceed $500,000 in a 12-month period. This exemption does not apply to issuers who are convicted of specified financial crimes or are subject to specified professional disciplinary actions.
Written by AI (Claude) using only the official summary by the Congressional Research Service, the Library of Congress’s nonpartisan research staff. It can miss nuance, so check the official summary and the bill text for details.
1st SessionH. R. 4171
A BILL
SEED Act of 2025
Sponsor: Rep. Andrew R. Garbarino (R-NY-2) · Introduced Jun 26, 2025 · Finance and Financial Sector · 2 versions of the text
Sources: Congress.gov actions and votes · bill text from GovInfo · latest official action Mar 25, 2026: “Placed on the Union Calendar, Calendar No. 492.”