Earnings explained

Choosing good entrepreneurs

A good investor seeks minimum investment risk with maximum return. This is what Crowd2Fund uniquely allows you to achieve.

Our credit team carefully handpick opportunities for you to invest in by conducting thorough due diligence. Most of the time we take security or a director’s guarantee for the loan where possible. Any loan security or director guarantee is clearly shown on the opportunity profile. We work closely with businesses and monitor them to reduce the risk of a default.

Actual performance

Nov 18 Dec 18 Jan 19 Febr 19 Mar 19 Apr 19 May 19 Jun 19 July 19 Aug 19 Sep 19 Oct 19 12 months avg
Actual gross APR
Late repayments
Defaulted loans
Written off loans

Last updated on .

The above is an indicative estimate to demonstrate the importance of re-investing your repayments to build a diversified portfolio and help you earn higher returns. The example is showing returns before fees and bad debt.
Simulated past performance. Past performance is not a reliable indicator of future results.
Return may increase or decrease as a result of currency fluctuations.

More information

Average lending rates before fees and bad debt

Actual losses

Example investment returns

Interest Rate Amount Invested Term Interest earned Fees Earnings reinvested Repayments re-invested Estimated repayments re-invested
8.7% £5,000 12 months £238.75 £52.39 £186.36 £380.65 7.61%
8.7% £5,000 24 months £465.57 £54.66 £411.01 £848.77 16.97%
8.7% £5,000 36 months £698.85 £56.99 £641.86 £1,357.61 27.15%
8.7% £5,000 48 months £938.28 £59.38 £878.9 £1,910.72 38.21%
8.7% £5,000 60 months £1,183.92 £61.84 £1,122.08 £2,511.95 50.24%

The above is an indicative estimate to demonstrate the importance of re-investing your repayments to build a diversified portfolio and help you earn higher returns. The example is showing returns before fees and bad debt.

Simulated past performance. Past performance is not a reliable indicator of future results.

Return may increase or decrease as a result of currency fluctuations.

Definitions

Actual gross APR

12 months to -

This is the annual percentage return for active loans on the platform. It is calculated by taking an average of the APR across all loans. The average APR is not weighted based on the value of the monies lent and assumes that the average APR is achievable based on lending the same amount to all loans listed on the platform for the last 12 months.

Late repayments

Current platform late repayments -

This percentage is the percentage of the overall loan book where the repayment is late but is recoverable and has not yet defaulted. Businesses sometimes make a late repayment due to unforeseen circumstances.

Defaulted loans

All time platform defaults -

This is the amount of loans that are in default and more than 90 days (or 180 days where secured on property), since the last repayment. If a loan defaults, it does not necessarily mean it is not recoverable. It is important to expect some defaults. Past performance is not an accurate indicator of future performance.

Written off loans

All time written off loans -

This is the percentage of loans that are not recoverable and your total losses to date. To reduce your investment risk, it is always advisable to invest in different businesses and different products.

Target estimated gross APR

12 months from to - 8.7%

Target lending rate before losses - 10.00% The target lending rate is the amount you lend to businesses at before fees and bad debt. This amount is determined by the profile of businesses listed on the platform and the associated risk. Actual returns may be higher or lower depending on market conditions and the businesses the investor chooses to invest in.

Risk warning

Past performance and forecasts are not reliable indicators of future results. Your capital invested is not covered for compensation in the event of a loss by the FSCS. Tax treatment will depend on the individual circumstances and may be subject to change.

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