California Suspends FIPVCC Data Collection and Reporting Regime

The California Department of Financial Protection and Innovation (DFPI) has announced that implementation and enforcement of the Fair Investment Practices by Venture Capital Companies Law (FIPVCC) will be suspended pending completion of rulemaking and until final regulations are in place. The agency also stated that covered entities will not be required to submit further registrations or file reports by the April 1, 2026 deadline. This is an important development for venture capital firms and others following the FIPVCC. We are actively monitoring next steps and further guidance from the DFPI. Learn more here: https://lnkd.in/gkFcmBAq.

‼️ Breaking Fund Formation News ‼️ GOOD NEWS For all VCs who have been preparing to meet the April 1 deadline to comply with the California VC diversity reporting law (the so-called "Fair Investment Practices by Venture Capital Companies Law" (FIPVCC)). California has suspended enforcement of the law until rulemaking can occur.  You can stand down until further notice. https://lnkd.in/g-DKy4pU #VentureCapital #California

On March 17, 2026, the California Department of Financial Protection and Innovation (DPFI) announced (https://bit.ly/3NCYGVw) it would suspend implementation of the California Fair Investment Practices by Venture Capital Companies Act (FIPVCC). As noted in our February 2026 GT Alert (https://bit.ly/4aYgx28), the new law requires certain firms that invest in startup, early-stage or emerging growth companies and have a significant California nexus — known as “Covered Entities” — to report anonymized, aggregated demographic data about the founding teams of their portfolio companies annually. 📖 Read this #GTAlert by Emily Ladd-Kravitz, Babak Nikravesh, Daniel Wu, and Rachel Edwards to learn about why venture capital firms operating in California need to understand the suspension of the FIPVCC and how it will impact their compliance obligations: https://bit.ly/4sSJuma. #PrivateFunds #VentureCapital #EmergingTech #CaliforniaLaw #FIPVCC

The California Department of Financial Protection and Innovation (DPFI) announced (https://bit.ly/3NCYGVw) it would suspend implementation of the California Fair Investment Practices by Venture Capital Companies Act (FIPVCC). Read our full update here: https://bit.ly/4sSJuma. #venturecapital #GTLaw #CAlaw

California VC diversity reporting update: Last week DFPI suspended implementation and enforcement of the Fair Investment Practices by Venture Capital Companies law while it completes rulemaking. Covered firms do not need to submit further registrations or file reports by April 1.   More guidance is expected before any new deadlines are set.

The CA DFPI announced that it will suspend implementation and enforcement of S.B. 164, the Fair Investment Practices by Venture Capital Companies Law. https://lnkd.in/g9jFCSSc

It comes as welcome relief that the CA DFPI has paused the implementation of SB 164, the Fair Investment Practices by Venture Capital Companies Law, and its reporting requirements. The statute created significant ambiguity around how fund managers were expected to operationalize their obligations. The decision to pursue a more thoughtful approach and resolve these ambiguities is a good step. Clear rules make for better outcomes. #VentureCapital #VentureCapitalCompanies #VentureFunds #PrivateFunds #DFPI #ComplianceUpdate

California’s DFPI has officially paused implementation of the Fair Investment Practices by Venture Capital Companies Law, putting the 2026 registration and demographic reporting requirements on hold. While this removes immediate deadlines, it also creates a meaningful window for venture capital firms to strengthen their internal readiness ahead of the upcoming rulemaking process.   Our US Compliance Solutions team has identified several important takeaways: 📌 The April 1, 2026, reporting and registration requirements are fully suspended 📌 DFPI will restart the rulemaking process later this year, including stakeholder engagement 📌 Enforcement is paused until final regulations are issued 📌 Firms can use this period to refine data‑collection, governance, and compliance workflows.   The broader direction remains unchanged. Transparency and structured reporting will return, and firms that prepare now will be well-positioned when the new framework is released. Explore the full analysis and practical guidance to understand what this pause means and how to get ahead:

📣 Some welcome news for Venture Capital firms 📣 California Pauses Implementation of Its New Diversity Reporting Law The California Department of Financial Protection and Innovation (DFPI) has announced that implementation of the Fair Investment Practices by Venture Capital Companies Law (FIPVCC) is suspended pending further rulemaking. As originally enacted, FIPVCC would have required venture capital firms to: ☑️ Register with the DFPI ☑️ Collect demographic information from the founding teams of their portfolio companies, and ☑️ Submit periodic reports containing that demographic data along with investment‑related information The pause provides firms additional time to assess compliance implications and prepare for whatever revised requirements may follow. For those tracking the regulatory landscape, particularly around reporting, operations, and fund governance, this is an important development. At FiSolve, we are watching the evolution closely as part of our work helping investment firms navigate emerging regulatory expectations. More information from the DFPI here: https://lnkd.in/evz3iM3Q

Remember that California law requiring VC firms to solicit demographic information from founders? ⚠️ It's been suspended. Some welcome news for VC firms, as well as other entities investing in startup and emerging growth companies. This decision comes pending the completion of a rule-making process initiated by the DFPI in response to feedback from stakeholders affected by the regime. As a result, the DFPI will not require covered entities to submit further registrations or file reports by the April 1, 2026 deadline.