Anyone Can Back a Startup Now. But Good Luck Finding the Next Uber

New SEC rules will let `the 99 percent' buy shares in private companies. Startups can raise as much as $1 million this way.
Photographer: Patricia De Melo Moreira/Bloomberg
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New crowdfunding rules taking effect Monday will let anyone—not just the wealthy— invest in startups. But don't bet on the "99 percent" finding the next Uber overnight.

The change overrides a longstanding Securities and Exchange Commission requirement that investors backing private companies be "accredited," meaning they make at least $200,000 a year and have a net worth of $1 million or more (excluding their home).