← Broker database 2026-01-16
Fundit Inc. Suspended by FINRA for Failure to Provide Information
According to FINRA, Fundit, Inc., a registered funding portal based in Fairfield, New Jersey, was suspended by FINRA in January 2026 for failure to provide information or keep information current as required under FINRA Rule 9552. The suspension became effective January 16, 2026.Funding portals like Fundit are authorized under FINRA rules to facilitate crowdfunding securities offerings for small businesses and startups, operating under the regulatory framework established by the JOBS Act. These entities are subject to FINRA oversight, including requirements to maintain current registration information and cooperate with FINRA's regulatory requests. When a funding portal fails to comply with these obligations, FINRA may suspend it under Rule 9552(d), which provides a process for summary suspension of member organizations that fail to provide required information or maintain current registration disclosures.A suspension prevents the portal from conducting its regulated activities during the suspension period. If the deficiency is not cured, the suspension can escalate to expulsion. Unlike expulsion, suspension allows a firm to restore its FINRA membership status by curing the underlying deficiency within the applicable timeframe.Investors who participated in crowdfunding offerings facilitated by Fundit should monitor the situation closely and review their investment documentation. Crowdfunding investments are generally illiquid and carry significant risk. The suspension of a funding portal does not necessarily affect the underlying securities issued through the platform, but investors should be aware of any changes in the portal's status as they could affect ongoing disclosures and investor communications. FINRA's funding portal registration database and BrokerCheck can be consulted for additional information about Fundit's regulatory status.