Trusters Has Exceeded 54 Million in Collections Since Its Launch in 2019

The real estate lending crowdfunding platform Trusters, a subsidiary of CrowdFundMe, has made the new Investor Report available. The total collection since the launch, which took place in 2019, amounts to €54,660,650 for 327 projects launched and financed.

Overall, in reference to the 224 completed projects, €32,246,350 were collected with total repayments (principal plus interest) equal to €34,859,212, a significant increase from the result of the previous report (€27,027,765 as of 10/07/2023 ).

The average annual interest is equal to 9.12%, also in this case an increase compared to the previous figure (9.06%), while the average duration of the loans was 11 months.

“ In 2023 our KPIs are constantly growing and the investments proposed by the portal are proving to be increasingly profitable – declares Andrea Maffi , CEO of Trusters – When we joined the CrowdFundMe group we saw a development opportunity, for the benefit of society and its investors. The numbers prove us right and we expect that this synergy will lead us to record further growth in 2024 and in the years to come.”

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85% of loans repaid without delay

The projects concluded without delay were 191, equal to 85.71%, while 9.38% of the projects were concluded within 3 months of the expected date, with total refunds of €2,865,199.82 and an average interest of 13%. ,81%. The remaining 4.91% refers to projects concluded in extra extension, with total refunds of €1,287,198.97 and an average interest rate of 2.84%.

Only one project was recorded which ended in default in 2020, the investment amount of which was €200,000.00. In this one case, the project’s investors lost 100% of their invested capital.

Current projects of Trusters

Among the projects currently underway, those that do not foresee delays represent 77.67% for a total of €17,539,100.00 collected and an expected interest of 11.31%.

Two projects are in a state of extension, with a total capital raised of €510,000.00.

Finally, 21 projects are in extra extension status. The investment amount for extra-extension projects is €4,365,200.00. These represent 20.38% of ongoing projects.

The reasons for the delays

36.37% of the delays were caused by the lengthening of the expected timescales for the completion of construction. In these cases, the time estimate initially calculated has undergone variations due to unforeseen events during the design or execution of the project, for example, delays in deliveries of raw materials or non-availability of materials.

29.09% of delays were caused by the persistence of restrictions imposed during the pandemic period, which had a significant impact on all parties involved in construction projects.

Furthermore, in 29.09% of cases, the cause was the delay in sales. Following this, 5.45% of cases suffered delays due to the disbursement of tax credits.

Monitoring of issuing companies

At the conclusion of the report, Trusters underlines its extreme attention in monitoring and reporting also for companies in extra extension, for which it uses professionals to best assist its investors where necessary.

Furthermore, from 2023 the company reveals that the audit and financial reporting processes of the broadcasters promoting the initiatives have been further strengthened.

In particular, stringent selection methods have also been introduced through Modefinance, a company with authoritative and proven experience in the sector, which provides an independent financial rating.

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(Featured image by moerschy via Pixabay)

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