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Washington Administrative Code (Last Updated: November 23, 2016) |
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Title 460. Financial Institutions, Department of (Securities Division) |
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Chapter 460-99C. Crowdfunding. |
Section 460-99C-020. Definitions.
Latest version.
- (1) "Escrow agent" means a bank, trust company, savings bank, national banking association, building and loan association, mortgage banker, credit union, insurance company, an escrow agent that is registered under chapter 18.44 RCW, or any other independent escrow agent acceptable to the director. The entity acting as the escrow agent must be independently audited or examined, in a manner acceptable to the director, on a regular basis.(2) "Local associate development organization" means a Washington associate development organization as defined in RCW 43.330.010.(3) "Port district" means a port district formed under chapter 53.04 RCW.(4) "Portal" means:(a) A port district;(b) A local associate development organization; or(c) A broker-dealer registered with the division; that files offering materials with the director on behalf of issuers seeking to rely on the crowdfunding exemption in RCW 21.20.880 or that offers services to issuers as contemplated in RCW 21.20.883.(5) "Promoter" means:(a) Any person who, acting alone or in conjunction with one or more other persons, directly or indirectly, takes initiative in founding and organizing the business or enterprise of an issuer; or(b) Any person who, in connection with the founding and organizing of the business or enterprise of an issuer, directly or indirectly, receives in consideration of services or property, or both services and property, ten percent or more of any class of securities of the issuer or ten percent or more of the proceeds from the sale of any class of such securities. However, a person who receives such securities or proceeds either solely as underwriting commissions or solely in consideration of property shall not be deemed a promoter within the meaning of this subsection if such person does not otherwise take part in founding and organizing the enterprise.