22nd December 2022
Like every year at Crowd2Fund we’ve been working tirelessly to find you great opportunities to invest in and improve our platform investing experience by allowing you to invest in UK Entrepreneurs directly where interest rates of up to 18% tax-free, before fees and bad debt are being offered.
Here’s a countdown of Crowd2Fund’s 2022 highlights:
During 2022, we gave you 60 new UK-based entrepreneurs to invest in. Combined, these entrepreneurs were seeking around £7m in capital, offering you attractive interest rates and amazing product rewards.
Our five top deals this year:
We’ve had around 120 new active investors join the platform and start investing. Combined all-new active investors have deposited an additional £2.2m of additional capital to be invested into amazing businesses.
We’ve worked hard on improving and analysing our new credit methodology which was implemented at the start of January 2021. From the loans listed, we’ve reduced the write-off and default rate to 2.57% write-off rate (4.17% all time), 2.07% default rate (6.59% all time). Admittedly not all the loans issued since the start of 2021 have had time to fully mature, but the figures are moving in the right direction to allow investors to retain more of your earnings. Remember though, by choosing the right investments, and maintaining a diversified portfolio you can manage the risk to your portfolio.
This improvement is due to an even more thorough credit risk review process and additional senior team members. As everyone is aware there are challenges with the global economy, we’ve monitored this and included additional commentary for each campaign to allow you to better assess the associated risk.
As the business matures it was time to review the platform's governance to prepare us to scale further and faster during 2023. We’ve implemented a board that comprises other significant shareholders and a new Executive director who will continue to be closer to the operational aspects of the business during 2023 as we transition into a more mature scale-up.
We’ve continued to raise capital during 2022 via our convertible loan investment, and equity investment round for existing shareholders and capital has been received from our significant shareholders. We’ve been waiting for the right time to launch our next EIS round which we aim to have ready early 2023. This could be one of the last opportunities to invest directly in the platform before we aim to secure a series A institutional investment round.
We are thrilled about your ongoing engagement with Crowd2Fund which presents a completely unique investing experience for investors being one of the only platforms to allow you to choose and diversify your investment portfolios within the small and medium-sized businesses space.
We recognise all the challenges that are being faced by our community and we will drive forwards into 2023 to bring success and prosperity to our community of entrepreneurs, platform investors and shareholders.
Thank you and wishing you all the best for 2023.
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. Please see our Risk section before making an investment decision.