A proposal by U.S. Rep. Anna Eshoo to help small businesses raise money when they go public sailed through the U.S. House of Representatives Tuesday, March 27, and now awaits President Barack Obama's signature.

The law, which the U.S. Senate had already approved, focuses on "mini offerings" employed by small companies to raise capital. A Great Depression-era policy known as Regulation A sets a threshold for how much money these businesses can raise through a mini offering. Since 1992, that limit has remained at $5 million -- an amount Eshoo said is far too low for most businesses.

H.R. 3606, which passed the House by a vote of 380 to 41, raises this Regulation A limit to $50 million.

"Small businesses and startups, especially in the high-tech, sustainable energy, and life science fields, are ready and able to create jobs, but the current Regulation A limit is no longer relevant in terms of its cap of $5 million," Eshoo said in a statement.

Eshoo, whose district boasts a rich ecosystem of startup businesses, has spearheaded the legislation and had testified about the proposed bill in December 2010 in front of the House Financial Services Committee. She said in a statement that she is "very proud we're finally sending a bill to the President for his signature that increases the Regulation A offering limit, expanding the opportunity for capital formation."

The proposal to raise the Regulation A limit was included in Obama's "American Jobs Act."