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A Game-Changer for Small Business Investing: The Crowdfunding Tax Credit Movement
A Game-Changer for Small Business Investing: The Crowdfunding Tax Credit Movement

A Game-Changer for Small Business Investing: The Crowdfunding Tax Credit Movement

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I’m not a financial advisor; Superpowers for Good should not be considered investment advice. Seek counsel before making investment decisions.Watch the show on television by downloading the e360tv channel app to your Roku, AppleTV or AmazonFireTV. You can also see it on YouTube.When you purchase an item, launch a campaign or create an investment account after clicking a link here, we may earn a fee. Engage to support our work.Has your business been impacted by the recent fires? Apply now for a chance to receive one of 10 free tickets to SuperCrowdLA on May 2nd and 3rd and gain the tools to rebuild and grow!For years, crowdfunding advocates have championed the idea that everyday investors should have access to the same wealth-building opportunities as venture capitalists. Despite regulatory progress, investment crowdfunding has yet to reach its full potential. A newly proposed tax credit aims to change that, incentivizing millions more to participate in funding small businesses while boosting local economies.Brian Christie, co-chair of the Crowdfunding Professional Association (CfPA), and Levi Brackman, CEO of Invown, joined me on Superpowers for Good to discuss this groundbreaking proposal. The initiative, led by a broad coalition of industry players, seeks to provide a tax credit for investors who fund businesses under Regulation Crowdfunding (Reg CF)."The way this tax credit works is that you get half of the dollars that you've invested as a credit—up to a $1,000 cap," Brian explained. "So if you invest $2,000 in one or multiple companies in a given year, you get a $1,000 tax credit when you file your taxes."The potential impact is staggering. Although crowdfunding has already enabled millions of Americans to invest in startups and small businesses, the vast majority of the population remains unaware of the opportunity. Brian sees this tax credit as a pivotal mechanism for awareness and engagement. "If all of a sudden it shows up on your annual tax filings, a lot of people will learn about it very quickly."Levi, an outspoken supporter of the initiative, believes it could dramatically shift the financial landscape for small businesses. "Capital formation is really difficult," he noted. "In the old days, you had a local bank manager who knew you and could vouch for you. That's gone. Crowdfunding fills that gap, but we’ve barely scratched the surface. This tax credit could help scale it massively."Levi envisions a future where tens of millions of Americans actively invest in small businesses. "Imagine if 50 million people each invested just $500 a year. The amount of capital flowing into the economy would be enormous, creating jobs and strengthening communities."Keep reading below. Learn more at ccajp.us.tl;dr:* A new tax credit proposal could dramatically boost Regulation Crowdfunding by incentivizing millions of investors.* Brian Christie explains how the tax credit offers a 50% refund on investments up to $2,000 annually.* Levi Brackman highlights crowdfunding’s potential to fill small business funding gaps in a post-local bank era.* The initiative could channel billions into small businesses, creating jobs and strengthening communities nationwide.* Advocates urge action by joining the coalition, contacting legislators, and spreading awareness to drive policy change.Beyond sheer economic growth, the proposal aligns with how the government has historically incentivized positive behaviors. "The U.S. incentivizes things like home ownership, charitable giving, and child-rearing through the tax code," Levi pointed out. "Why shouldn’t investing in small businesses—arguably the backbone of the economy—be encouraged the same way?"Opponents of tax credits often raise concerns about costs or who benefits most, but Brian argues that this particular incentive pays for itself. "Our preliminary analysis, along with industry data, suggests that every dollar invested in small businesses has a sixfold ripple effect in the economy. Over ten years, the net impact on the Treasury could be an $80 billion surplus."The coalition behind this initiative isn’t limited to crowdfunding platforms like Invown, StartEngine, Republic, and Small Change. It also includes investors, accountants, attorneys, and small business owners who recognize the broader benefits of democratized capital access.For those eager to support the effort, joining the coalition is free and simple. Brian emphasized that beyond signing up, individuals can make an impact by calling their legislators, sharing the initiative on social media, and writing letters to the editor. "We even provide templates to make outreach easier," he said.Levi added that persistence is key. "I’ve been cold-calling congressional offices, and it’s amazing how quickly you can reach someone influential just by making the effort. If this matters to you, just pick up the phone and start the conversation."The proposal is strategically timed, given that key tax policies from the 2017 tax bill are set to expire. Advocates hope to see the crowdfunding tax credit included in the next major tax package or passed as a standalone bill.For those ready to take action, the coalition’s website, ccajp.us/join, offers resources to get involved. This is a grassroots movement, and every voice counts.If successful, this initiative could change the game for small business investing, making crowdfunding more accessible, impactful, and widespread than ever before. Let’s do some good.Guest ProfilesBrian Christie (he/him):CEO and Chief Innovation Officer, Brainsy, Inc., Co-Chair of the Board of Directors, Crowdfunding Professional Association, and Advisor, Crowdfund Holdings Innovators (CHI), Brainsy, Inc., Crowdfund Holdings Innovators (CHI), Crowdfunding Professional AssociationAbout Brainsy, Inc., Crowdfund Holdings Innovators (CHI), Crowdfunding Professional Association: Brainsy offers patented Software as a Service (SaaS) to power web3 media networks for communities and enterprises. Brainsy is backed by successful entrepreneurs-turned-Angels and is a portfolio company of TomorrowVentures, the personal investment arm of Alphabet (formerly Google) Chairman, Eric Schmidt.Websites: brainsy.com cfpa.org crowdfund.holdingsX/Twitter Handle: @brainsyincBiographical Information: Brian Christie is the CEO of Brainsy, Inc., a pioneering SaaS company offering the first AI-powered white-label social media platform that rewards user engagement. He envisions a future where thousands of micro-networks empower communities through custom incentive systems. Brian also serves as an Advisor at CHI (Crowdfund Holdings Innovators), supporting issuers in regulated investment crowdfunding, and was the 2024 President of the Crowdfunding Professional Association. Passionate about innovation and economic equity, he champions technologies and policies that serve the public interest. Brian holds a B.A. in Political Science from Miami University and an MBA from Georgetown University.Linkedin: linkedin.com/in/bpchristie/Levi Brackman (he/him):CEO & Founder, InvownAbout Invown: Raise an unlimited amount of capital for your next project with best-in-class legal and financial technology that you can rely on.Website: invown.com/X/Twitter Handle: @invown1Company Facebook Page: fb.com/Invown/Biographical Information: Levi Brackman is an entrepreneur, executive, and data science leader with deep expertise in AI, machine learning, and big data analytics. As the CEO & Founder of Invown and Managing Partner at Raleib Capital, he is reshaping crowdfunding and investment strategies. Previously, he led AI-driven innovation at major firms like Booking Holdings, BP, and Travelport. An author and thought leader, Levi has written Jewish Wisdom for Business Success and Fostering Purpose. He holds a Ph.D. from Australian Catholic University, a Master’s from UCL, and a business certification from Yale School of Management.X/Twitter Handle: @LeviBrackmanLinkedin: linkedin.com/in/levibrackman/Support Our SponsorsOur generous sponsors make our work possible, serving impact investors, social entrepreneurs, community builders and diverse founders. Today’s advertisers include FundingHope, NC3 Changing the Paradigm, Imotobank Dealership and SuperCrowdLA. Learn more about advertising with us here.Max-Impact MembersThe following Max-Impact Members provide valuable financial support:Carol Fineagan, Independent Consultant | Lory Moore, Lory Moore Law | Marcia Brinton, High Desert Gear | Paul Lovejoy, Stakeholder Enterprise | Pearl Wright, Global Changemaker | Ralf Mandt, Next Pitch | Scott Thorpe, Philanthropist | Add Your Name HereUpcoming SuperCrowd Event CalendarIf a location is not noted, the events below are virtual.* Superpowers for Good Live Pitch – Where Innovation Meets Impact! Join us on March 12, 2025, for the Q1-25 live pitch event, streaming on e360tv, LinkedIn, Facebook, and Instagram. Watch impact-driven startups pitch their bold ideas, connect with investors, and drive positive change. Don’t miss this chance to witness innovation in action!* Impact Cherub Club Meeting hosted by The Super Crowd, Inc., a public benefit corporation, on March 18, 2024, at 1:00 PM Eastern. Each month, the Club meets to review new offerings for investment consideration and to conduct due diligence on previously screened deals. To join the Impact Cherub Club, become an Impact Member of the SuperCrowd.* SuperCrowdHour, March 19, 2025, at 1:00 PM Eastern. Devin Thorpe will be leading a session on "How to Build a VC-Style Impact Crowdfunding Portfolio." He’ll share expert insights on diversifying investments, identifying high-potential impact ventures, and leveraging crowdfunding for both financial and social returns. Whether you're an experienced investor or just getting started, this is a must-attend! Don’t miss it!* SuperCrowdLA: we’re going to be live in Santa Monica, California, May 1-3. Plan to join us for a major, in-person event focused on scaling impact. Sponsored by Digital Niche Agency, ProActive Real Estate and others. This will be a can’t-miss event. Has your business been impacted by the recent fires? Apply now for a chance to receive one of 10 free tickets to SuperCrowdLA on May 2nd and 3rd and gain the tools to rebuild and grow!Community Event Calendar* Successful Funding with Karl Dakin, Tuesdays at 10:00 AM ET - Click on Events* Kingscrowd Meet UP in San Francisco, CA - February 27th (today) at 5:30 PM PT* Igniting Community Capital to Build Outdoor Recreation Communities, Crowdfund Better, Thursdays, March 20 & 27, April 3 & 10, 2025, at 1:00 PM ET.* NC3 Changing the Paradigm: Mobilizing Community Investment Funds, March 7, 2025* Asheville Neighborhood Economics, April 1-2, 2-25.* Regulated Investment Crowdfunding Summit 2025, Crowdfunding Professional Association, Washington DC, October 21-22, 2025.Call for community action:* Please show your support for a tax credit for investments made via Regulation Crowdfunding, benefitting both the investors and the small businesses that receive the investments. Learn more here.If you would like to submit an event for us to share with the 9,000+ changemakers, investors and entrepreneurs who are members of the SuperCrowd, click here.We use AI to help us write compelling recaps of each episode. Get full access to Superpowers for Good at www.superpowers4good.com/subscribe

A Game-Changer for Small Business Investing: The Crowdfunding Tax Credit Movement

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