Promoting Opportunities for Non-Traditional Capital Formation Act

# Promoting Opportunities for Non-Traditional Capital Formation Act – Plain Language Summary **What the bill does:** This bill strengthens the SEC's Office of the Advocate for Small Business Capital Formation by requiring it to actively help certain groups of businesses access funding. Specifically, it must create educational materials and host events to teach underrepresented small business owners, rural businesses, and disaster-affected businesses about alternative ways to raise money. The office would also need to meet annually with state securities regulators to find ways to work together more effectively on these issues. **Who it affects:** The bill primarily targets small business owners who face barriers to traditional financing, including minority-owned and women-owned businesses, companies in rural areas, and businesses rebuilding after natural disasters.

It also affects the SEC, which would take on expanded responsibilities for outreach and education. **Current status:** The bill passed the House and is awaiting further action. Since it expands an existing government function rather than creating major new programs, it represents a relatively targeted approach to improving small business access to capital.