Why should you invest in crowdlending?

Crowdlending is more than a trend. It is an established investment method that gives lenders the opportunity to fund projects without the intervention of the bank.

 

This method of funding is on the rise due to the many advantages it offers to lenders. We invite you to read the four main advantages of crowdlending so as to gain better insight of this growing sector:

  1. A diversified investment portfolio

One of the most valuable pieces of advice you would be given when thinking about investing is to avoid putting all your eggs in the same basket. Indeed, it is not advisable to invest all your funds in only one company. The same applies to crowdlending. Portfolio diversification is a rule of thumb that mitigates the risk of losing your investment. Unlike the traditional angel investment where you input a large sum of money in one company only, you have the opportunity to invest smaller amounts  across many businesses. This will help you spread your investment and diversify your portfolio.  Fundkiss offers you the opportunity to browse through our projects when signing-up so that you can pick the right one for you. We encourage our lenders to diversify their portfolio. You will be able to invest in a maximum of 5 projects at the same time over a period of 12 months.

 

  1. Bigger benefits and lower risks

When looking for lucrative investments, the crowdlending sector is a gold mine.  As investors are on the lookout for opportunities, this sector opens the door to interesting campaigns to fund with minimized risks. On top of getting higher returns than when investing in bonds or publicly quoted shares, crowdlending is not linked to other financial markets and thus remains stable in times of economic instability. Furthermore, our platform makes the investment process totally transparent and open. We provide an overall view of statups so that lenders have a clear idea of what is being funded. Moreover, contrarily to more traditional approaches to investing, crowdlending has the additional advantage of letting you choose what you are funding.

 

  1. You get an easy start

If you have minimal experience in investment, all the information can be overwhelming and you may face issues with customer due diligence and the evaluation of a campaign plan. When considering crowdlending, one of the major advantages is that you will get an easy start. Indeed, deals take little time and few efforts as the provider takes on the responsibility to evaluate new projects coming their way. On our platform, after a few clicks, you can decide whether or not to take a stake in a particular project as all the information necessary is provided.

 

  1. Non-bureaucratic approach

Investing funds is in itself a complex process, and when you think about the bureaucratic tasks associated with it, it can become downright daunting. Thanks to the digital realm, you can say goodbye to endless paperwork! If you are looking for a pitch to invest in, all you have to do is to sign-up on our platform (the only requirement being that you are older than 18). The investment process then becomes a no-brainer, with little to no paperwork associated.

 

Crowdlending can be rewarding in more than one way. In addition to minimizing risks, bigger benefits and an overall simplified process, you will also get to enjoy intangible benefits such as the satisfaction of helping businesses grow, contributing to the local economy, opportunities for networking and learning more about investment.