In first-of-its-kind legislation, under SB 54, California will require venture capital companies to collect and report diversity data from portfolio company founders as soon as 1 March 2025. The new Fair Investment Practices by Investment Advisers law intends to increase transparency regarding the diversity of founding teams receiving venture funds from covered entities in California.
Author
Maxim V. Tsotsorin
BrowsingMaxim V. Tsotsorin is a senior associate in the Palo Alto office of Baker McKenzie and a member of the Firm's Corporate Practice Group. He regularly advises clients in connection with cross-border and US domestic mergers, acquisitions, joint ventures, private equity and venture capital transactions, as well as corporate reorganizations and corporate governance matters. He served as a Managing Editor of the Santa Clara High Technology Law Journal.