Friends, as you might have read in the June update, Monethera is a recent addition to my portfolio!
Envestio and Crowdestor had a bit of a slow June, which made me look for other investment opportunities. Monethera is the platform I ended up choosing.
To learn more about the platform I reached out and managed to set up a short Q&A with Andis Taubers. The interview took place on July 1st and answers 17 questions.
I hope this Monethera Q&A will provide you with information you have been looking for!
Q: 1) Can you explain to the readers what Monethera does?
A: We offer our investors the highest quality investment opportunities, which are carefully chosen and studied by Monethera’s analytical team. Monethera offers structured financing to entrepreneurs from a wide range of industries, provided from our pool of registered private investors.
The entire application process can be completed online. At Monethera we guarantee that the fundraising process is transparent, and ensure that information is shared between all participants of investment projects properly and impartially.
Q: 2) When was Monethera founded?
A: Monethera was founded in 2017 as a private investment fund. It has now become an online crowd-investing platform, offering sophisticated methods for making investments in high-yielding projects.
Q: 3) Why was decided to open Monethera for the public?
A: Monethera has achieved very impressive results over the 2 years of its existence as a private foundation.
It was decided to make a public platform in order to diversify the investment portfolio as much as possible, increase the number of investment targets and simply give private investors a chance to participate and invest their funds successfully with Monethera.
Q: 4) Is Monethera regulated?
A: Monethera is registered in Estonia and all licensing also comes from there.
Q: 5) How does Monethera stand out from its competitors?
A: Investing in Monethera is secure and profitable. We offer:
– Thoroughly selected high-quality projects
– Higher interest rates than traditional banks
– Wide choice of investment opportunities
– Several options of portfolio diversification
– Buyback option
Q: 6) What are the biggest benefits Monethera can offer its investors?
A: The biggest benefits are:
– High-quality investment targets, carefully analyzed by experts.
– High APR.
– Quick access to funds.
– Monethera invests with you in those projects that we bring to the attention of investors.
I followed up on how Monethera invests with you and this is what Viktor from Monethera replied:
There is no any co-invest official policy.
-ONLY If any extended project will get at least 80% – Monethera will add the required amount to start it’s implementation.
-If 80% will not be collected in 2 weeks after start date – all investment will get back to investors including interest for those 2 weeks.
We have extended a project “Expand current productivity of luxury clothing brand Tier 1” for 2 weeks since 1st of July. This means the last day of possible investments will be 15th of July.
When Monethera’s User base will be large enough to fund all projects within starting date – Monethera will be able to invest only 1-2% of the required amount.
Q: 7) Can you provide a bit of insight in your due diligence process and what steps you perform?
A: Due Diligence contains a lot of steps:
– Check the accuracy of financial and other inside information;
– Find confirmation of the estimates / assumptions laid down in the business plan;
– Make sure that all documents are properly executed in terms of their compliance with the laws and internal company rules;
– Operational analysis (analysis of business organization), in which the main areas of study are: the historical development of the company, organizational structure, management, personnel, sales, procurement, strengths and weaknesses, constraints;
– Financial analysis provides an opinion on the company’s ability to generate income;
– Legal expertise determines the activities of the company in accordance with applicable regulations in the field of civil, labor, corporate law;
– Analysis of the situation on the market in order to determine the company’s position in the competitive environment, the potential and prospects of market development, as well as the assessment of the company’s development opportunities in accordance with the market dynamics;
Q: 8) Currently three projects are open for investors, can you share numbers on previously funded projects and perhaps projects which already successfully exited?
A: This information will be public soon. We are going to make a statistic block in “About Us” section. However please find the report for previous 2 years, while Monethera existed as a private investment fund.
Q: 9) Where do you see Monethera in one year and in five years?
A: We hope that in less than a year we will gather a fairly strong base of private investors. This will increase the number of projects, further diversify the investment portfolio. As well as investors will be convinced of the reliability of Monethera. Perhaps we will enter the secondary market.
As for plans for in 5 years – the next step will be access to a larger market, more different spheres and projects. We will see. One thing is for sure – we are doing everything possible to provide only the most reliable and highly profitable projects.
Q: 10) How many investors does Monethera currently have?
A: About 300. But this number continues to grow.
Q: 11) How many employees does Monethera currently have?
A: Currently fifteen, not counting the Executive Team
Q: 12) What return on investment do you provide investors?
A: APR is 17-22%.
Q: 13) Do you ever see you providing your investors with monthly interest payments?
A: Undoubtedly, in future projects. In many respects, this depends on the borrowers and the loan objectives.
Monethera has updated their payment schedule to monthly interest payments mid July. Interest is paid out the 1st of the month.
Q: 14) Can you explain how the buyback guarantee works?
A: There are two buy back options.
• You have invested 100 EUR in one of the projects on our platform.
• If you want to exit earlier you, you will get back 95EUR back and no any profit extra. (The buy-back system will be fully integrated to our platform soon)
Monethera keep a reserve fund to cover Investors in a case of default. If any project will be unsuccessful all investors will have back 35% of their investments. The remaining 65% and interest will be issued when Monethera collects the entire debt from the project owners.
The term depends on the speed of the judicial process.
Based on judicial practice, this may take up to one and a half years.
Q: 15) Does Monethera have sufficient cash on hand to buyback significant investments?
A: We hold a reserve fund in case someone wants to go out earlier or in case of a project’s failure. Investors will not have to wait.
Q: 16) What default rate do you expect?
A: Based on experience no more than 4-5%. But we are trying to reduce this probability to zero. If due to unforeseen circumstances, even with the most rigorous expertise, one project or another fails, personal guarantees will take effect. At this stage, everything is excellent. However, we will soon have to expand the staff in order to monitor the implementation of projects, since it is expected that their number will grow.
Q: 17) Is there any sign up bonus you offer to new investors?
A: There is a sign-up bonus campaign. A new investor will receive €5 bonus as well as 0.5% cashback for their investment for 90 days.
Thanks Andis for taking the time to answer my questions!!
Friends, I hope you have learned more about Monethera due to the information provided above. Personally I thought it was very helpful. It has provided me with a better sense of the team’s experience and procedures as well as assess risk.
If you are considering becoming an investor with Monethera I would appreciate it if you will use my link.
Signing up using my link provides you with €5 bonus as well as 0.5% cashback for 90 days at no extra cost for you.
Check out my portfolio to see how I fit Monethera in.
Feel free to leave your thoughts about Monethera in the comments below!