With great power comes great responsibility.

It's a safe bet Voltaire wasn't thinking of Facebook when he wrote those words, but it's a useful warning for businesses now enjoying the growing clout of social media. Reaching thousands of customers by dashing off a quick sentence and hitting 'Share' is both great and powerful -- but too much sharing without enough risk management can be bad for business.

In a move to ease regulations on financing for startups and small businesses, on July 10 the SEC ruled that qualified firms seeking private investments are allowed to advertise publicly for the first time. This follows an April 2 SEC announcement that companies can now use the Internet and social media to announce key information under specific conditions, an action banned previously out of concern that not all shareholders had equal access to digital channels like Twitter or Facebook. Read full story on InformationWeek


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