Pan-European marketplace for short-term SME property-backed loans EstateGuru is set to close its equity crowdfunding campaign on Seedrs with more than €880,000 raised from nearly 1,100 Seedrs investors.
Founded in 2013, EstateGuru claims to be the leading European marketplace for short-term, property-backed loans. The online lender reported that it has facilitated more than 1,000 loans worth an excess of €200 million and has 46,000 investors from 106 countries.
“Our ambition is to become the biggest real estate financing platform in Europe by 2025 and we will strive to achieve this by offering the best quality digital experience for our borrowers and investors.We are developing a digital and borderless ecosystem for property financing in Europe and beyond. Our unique value proposition is to connect various real estate market participants into one single marketplace by creating seamless, cross-border and digital financial solutions. This is something that other financial institutions struggle to provide.”
EstateGuru also noted that it has 11.8% annual return and €0 loss of capital over 6 years of operations. The lender noted investors have contributed to building thousands of homes and creating new jobs.
“Our service is used by both institutional and retail investors across the globe to build diversified investment portfolios and gain access to one of the safest asset classes – real estate backed loans. At all times, continuous liquidity and flexible funding is vital for all businesses. Therefore, EstateGuru and other alternative lenders are increasing their market share in property funding.”
Funds from the Seedrs round will be used for the following:
- 33% – geographic expansion: This includes the legal set-up, hiring a local team, developing local partnerships, and initial marketing costs in the market.
- 28% – institutional investors’ area: This includes hiring a capital markets team, legal set-up of new products and contracts, developing institutional investor networks, developing instant data sharing (reporting environment & API integration), and developing an online interface for institutional partners.
- 39% – advancing EstateGuru’s technological capabilities: This includes onboarding additional engineering and product management resources, executing a data road map, advancing partnerships and integrations with third-party service providers, further digitalization and investment automation, and investments in EstateGuru’s tech-infrastructure.
EstateGuru is now offering 1.20% in equity at a €28,824,215 pre-money valuation.
Have a crowdfunding offering you'd like to share? Submit an offering for consideration using our Submit a Tip form and we may share it on our site!