The TAN2000 International Regulatory Corporation (TANRC) is the final pivot for a computer club that founder Alan Tan created in elementary school to help others improve their knowledge and opportunities. Previously, the Connecticut-based Benefit Corporation operated as TAN2000 International Holdings Corporation (TANHC), developing a highly structured entrepreneurial marketplace that assisted many aspiring entrepreneurs in honing their concepts and connecting with needed service providers and investors. In developing the voluntary processes that allowed them to run the marketplace, the founding team realized that those same processes were also able to spot fraudulent marketplace activity within the private equity market. Using those processes, the team was able to to remediate some, but not all, of the fraudulent case activity. Those cases become the jurisdiction of the appropriate governmental authority.
Fast forward to December 2015 when the SEC published a report that indicated that they were evaluating multiple paths to reduce the high level of fraudulent activity in the start-up ecosystem. Having already developed a well-articulated and documented process needed for accountability and trust, Tan and his founding team decided to pivot and work to become the recognized voluntary self-regulatory organization for the private equity markets. TANRC wants to give the SEC and state securities agencies, consumer protection agencies, attorneys general, and the labor agencies, the tools they need to address cheaters in the marketplaces and give the startup world the ability to regulate itself. The marketplace blueprint they developed is available to any entrepreneurial group who would like to create an opt-in system that promotes trust and accountability. Best practices are developed by the community in the form of standards and enforced by marketplaces. TANRC is working to function as the interface between the markets and the regulators to provide oversight for marketplaces. Thus, the markets can remain confidently focused on innovation, filling the economic pipeline with many start-ups, and allowing existing corporations to develop new revenue streams.