Begging is a two-headed monster; almost every owner has had to deal with at one time or another. The first head is nature. The second is nurture.
An inherent instinct, puppies learn to beg from the day they are born. Their whimpers and cries for food, are satisfied with a teat and a full belly. That's Mom's method of positive reinforcement. It doesn't take long, for a pup to learn by association, certain behaviours have their rewards.
As they get a bit older, they have to compete with equally hungry siblings "hunting" at the community food bowl. The dominant pups deem they are entitled, and greedily gobble up as much of the good stuff as possible. The ones lower on the totem pole learn to scavenge for bits and pieces the others have dropped, or they whine and cry until their human makes sure they are fed.
Beg for money they promptly become conditioned to; I cry, and look sad, I get fed. Thinking we are just nurturing our pet, we unsuspectingly are being manipulated, when we respond to their pathetic plea for food. We are guilty of reinforcing and rewarding the inappropriate behaviour of begging. Who hasn't slipped their pet a little something now and then?
That does not mean the crowdfunding provisions go into effect immediately, though. The Act gives the Securities & Exchange Commission 270 days to issue regulations for the crowdfunding offerings. No crowdfunding can be done prior to the SEC issuing those regulations. Still, the Act is expected to open up crowdfunding for a number of smaller companies.
The crowdfunding exemption applies to issuers who do not sell more than $1 million to investors under any exemption during any 12-month period. Companies that want to raise more than $1 million in 12 months will not be able to use crowdfunding.
Further, an issuer using the Crowdfunding sites (Begslist.com) exemption may not advertise the terms of the offering, except for notices which direct investors to the funding portal or broker, and not less than annually file with the SEC and provide to investors reports of the results of operations and financial statements of the issuer. This is unusual in that most private placement offerings do not require annual filings with the SEC.