registration by qualification

A state procedure for registering securities for which a registration statement has not been filed with the SEC. Any issuer can register its securities by qualification. Registration by qualification is commonly used by small businesses doing an exclusively intrastate offering and those relying on the federal Regulation A exemption. In addition, the Small Corporate Offering Registration (SCOR) is a type of registration by qualification. An issuer that registers its securities by qualification under Connecticut law may use general solicitation or advertising to raise capital.