The SEC accomplishes these goals primarily by requiring that companies disclose important financial information through the registration of securities. This information enables investors, not the government, to make informed judgments about whether to invest in a company's securities.
What is the purpose of SEC registration?
Registering your business with SEC is mandatory not only to legitimize its juridical entity but also to enable it to legally engage in business, issue receipts, trade financial assets, and be entitled to certain rights under the country's corporate and investment laws.
What does it mean to be SEC registered?
Registration is the process by which a company files required documents with the Securities and Exchange Commission (SEC), detailing the particulars of a proposed public offering. The registration typically has two parts: the prospectus and private filings.