Here's an interested take from HuffPo on the crowdsourcing mania induced by the Jobs Act. (HP) Author Gary Emmanuel writes, the risks of compliance shortfalls are high:
If a company undertakes the task of drafting the disclosure documents themselves to save on costs, the likely byproduct of which is sloppy drafting, then there is an increased risk of getting sued for having misled investors. This risk is compounded threefold. First, by the JOBS Act itself that makes available an investor-friendly remedy against a company and its management for material misstatements and omissions. Second, by virtue of the fact that less sophisticated investors have less capacity to lose money and therefore a greater incentive to sue or at least threaten to sue. And third, statistically 25% of startups will fail within the first year resulting in a greater likelihood of disgruntled investors.