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Improving Capital Allocation for Newcomers Act of 2025

Bill Number
H.R. 4431
Origin Chamber
House
Congress
119th Congress, Session 1
Policy Area
Finance and Financial Sector
Status
Passed House
Latest Action
2025-12-02: Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
Last Updated
2026-02-04T04:26:30Z

Official Summary

Improving Capital Allocation for Newcomers Act of 2025

This bill expands qualification requirements for venture capital funds to include investment firms with more owners and capital contributions. Venture capital funds are exempt from certain regulations applicable to other investment firms, including those related to filings, audits, and restricted communications with investors. Currently, an investment firm qualifies as a venture capital fund if, among other requirements (1) the fund's securities are owned by 250 persons or less, and (2) the fund has $10 million or less in aggregate capital contributions and uncalled committed capital. The bill increases these amounts to 2,000 persons and $150 million, respectively.

Sponsor

Rep. Timmons, William R. [R-SC-4]

Cosponsors (1)

Rep. Pettersen, Brittany [D-CO-7]

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