SHOULD I GO PUBLIC WITH REGULATION A+ OR S-1?

Here are the pros and cons;

Pros: The financials do not need to be audited by a PCAOB member firm, only an AICPA firm. There are many accounting firms which are in AICPA and not in PCAOB, so you might save some money in your IPO.

A+ offerings are exempt from review by state regulators, although you might still have to pay a filing fee in states where you sell.

Whereas S-1 issuers have to file quarterly and annual reports for at least the first fiscal year after the S-1 IPO is effective, A+ issuers only need to file annual and semiannual statements.

A+ issuers are subject to easier reporting of current events, such as changes in auditors or officers, and other material events.

Cons: Regulation A+ is newer and the jury is still out whether FINRA and Depositary Trust Company, which have to approve listing of the company shares, are up to it. This might cause delays.

Regulation A+ is not available for companies with officers or directors who have certain disclosure issues, or companies which are already reporting companies. It is not available as well for “shell companies” that want to go public. If you file an A+ for a company with minimal operations, the SEC might decide you are a shell company and reject your filing. There is no appeal from that decision.

Investors in an A+ offering who are not “accredited” investors ($1 million in net worth other than your home, or $200,000 in annual income) can only invest up to 10% of their annual income or net worth. Note, however, that the definition of “accredited” investor is under review, and the $1 million/200,000 thresholds are likely to be increased, since they have been static since 1982.