Any investor knows the maxim of not putting all the eggs in the same basket. Indeed, a good investment strategy is to have a little of everything, not to panic in times of uncertainty and to diversify. And the real estate sector has been and is, a great diversification alternative in a varied basket of assets for large investors, but in the past it was very difficult for an average investor since they had to acquire an asset: a flat, a premises, a house, etc.
Traditionally it has been seen as a sector with large investments and little liquidity. This was true until technology came into our lives and PropTechs kicked in, those companies that use technology to reinvent the brick industry.
icrowdhouse it is financing platform authorized by the National Securities Market Commission (There are only six authorized in the real estate sector) that uses these technological innovations to obtain financing for real estate projects. The operation is simple: through different solutions, icrowdhouse puts promoters in contact with investors. What kind of investors? Of all kinds: private investors, investment funds, consultants, private banking, EAFI Financial Advisory Companies, etc. The investor knows at all times the terms of the investment, the profitability, the risk… and everything online, through regulated platforms and with total transparency. The investment translates into a participation in the real estate project and without the need to go to the notary. As explained by Pedro Arroyo, General Director of icrowdhouse, "investor protection is part of our DNA", Who lists the advantages for the investor to operate in icrowdhouse"Interact in a secure environment authorized by the CNMV and a payment entity licensed by the Bank of Spain. The offer of investment opportunities is varied and of quality, because the real estate developers of icrowdhouse they are reference and are linked in the long term. In addition, it operates with absolute transparency in the information of investment opportunities to eliminate speculation. You can diversify your investments to your liking, without commitments or obligations. Monitor the results during the evolution of the project until completion. All this at no cost and in a 100% digital environment".
What is an EAFI?
EAFIs are companies of financial advice independent, that is, they lack their own products, thus avoiding any conflict of interest in advising their clients. They issue personalized investment recommendations in financial instruments.
Advantages of Icrowdhouse for EAFIs
What advantages does icrowd offerhouse for Financial Advisory Firms, for example? Among its different versions, the icrowd digital toolhouse incorporates a special service for financial intermediaries or brokers, with the aim that financial advisers can select promotions and offer them individually to their portfolio of investors. A unique formula for the financial advisor to have a 100% digital tool that broadens the investment offer to their client portfolio, being able to diversify the investment to their liking.
This platform offers multiple advantages for financial intermediaries:
- Agility, because the process is very simple.
- Transparency, because the intermediary visualizes and has 100% of the information of the potential investment.
- The intermediary can choose the type of investment, term, risk, geographic area and promoter according to the profile of your client.
- Security: the monetary amounts pass through an external payment gateway to the management of icrowdhouse, as required by the regulatory framework.
- Innovation: the broker can search for promotions from anywhere and through any device.
- Discretion: anonymity is maintained during the investment search process and even in the financing round.
- All in one: all the information on this investment is in a single tool, the documentation and communication is centralized. The monitoring of the investment is carried out with metrics, the processes are automatic (they avoid errors), all this always thinking about the best service and security for the investor.
Pedro Arroyo values the possibilities offered by icrowdhouse for financial advisers: “It is a digital tool so that he can recommend and argue quality and validated real estate investments to his client portfolio, because he knows the investor profile and can find the right real estate investment, leaving investment freedom to his client in a simple, fast, safe and digital way, the investor can invest with 4 clicks. This investment software has no cost for either the financial advisor or the investor ”.
icrowdhouse In the past, it has already raised 6,3 million in one year, in 2018, all with 300 investors, demonstrating the interest in accredited investors, to finalize financing rounds of 12 real estate projects. In the present 2020 the number of investors is increasing day by day, and thanks to this Saas EAFI solution, its growth is exponential.