A Eureeca spokesperson commented:
“It all has to do with the simple idea of creating an easy-to-use medium for connecting potential investors to entrepreneurs who need funding.”
However, Eureeca’s first year of trading has not all been plain sailing. Back in November Eureeca was the first platform to be on the wrong side of the SEC’s General Solicitation Requirements and a Cease and Desist order was filed against the company. The SEC found that the company failed to implement sufficient procedures to prevent US persons from accessing and investing in securities on the site. Eureeca submitted an offer of settlement, which the SEC did “determine to accept”. The US has very strict rules about what type of investors are allowed to take part in crowdfunding and it is alleged that Eureeca allowed American investors to purchase un-registered securities without taking sufficient steps to ensure the investors were accredited under Rule 506(c) of the Securities Act.
But Eureeca has ridden that wave and is now touting the positive impact that the platform has had for businesses in Dubai and the Middle East. This initiative has sparked the rapid development of many smaller businesses.
One of the company's representatives weighed in:
"Eureeca is the future of crowdfundingin the region and has already gained global popularity. We believe that the upcoming years will show a much greater need on the global market for financing and capital funding solutions, and our experts are already hard at work to meet these demands."
“But by lowering the barrier to entry – a virtually indispensable factor when targeting investments – Eureeca also enables all parties involved to leverage the resources and opportunities of a changing global financial landscape, turning them in their favor.”
Eureeca has received a lot of support from the leading Middle East based businesses and investors. The investors have already committed to dozens of local small businesses, and some of the most prominent among them are expected to fund more than 500 new businesses in the upcoming 5 years. Eureeca has also announced that it has plans to expand to other jurisdictions around the world, with a strong focus on emerging markets.
