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Frequently Asked Questions

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3.1 General

3.1.1 What is Crowdfunding Place?

We are a property investment portal dedicated to investors wishing to invest in property and diversify portfolio. We are based in UK and we are operating globally. We started the platform to allow everyone to build a diversified investment portfolio quickly and secured using the power of the Crowd.

 

3.1.2 When was Crowdfunding Place established?

Crowdfunding Place was established in July 2014.

3.1.3 Why should I trust Crowdfunding Place?

We could tell a lot about us but best if others will do it in the future. 

To give you a better understanding of Crowdfunding Place conduct of business

we use 11 principles of Financial Conduct Authority as benchmark.

1. INTEGRITY

Crowdfunding Place is trading name of Place 4 Financial Crowd Ltd which is Appointed Representative of Financial Brokers Ltd company authorised and regulated by Financial Conduct Authority in UK.

We hold data protection license issued by ICO and we are limited company based in Manchester in England. 

2. SKILLS, CARE & DILIGENCY

We are experienced professionals with a plenty years of experience in the property market.

Paul one of creators of our portal completed hundreds of property deals across UK as well as in Europe. 

He always tells that each deal on Crowdfunding Place is like his private investment which he needs to be 100% sure has potential and right numbers to provide profit. 

3. MANAGEMENT & CONTROL

Our management team have years of experience in managing FCA regulated business in UK as well as managing property business. 

Control is the key to every business success, Crowdfudning Place using state of art technology and back office systems in conjunction with external audit mechanism provide best possible business control in secured and organized manner. 

4. FINANCIAL PRUDENCE

Place 4 Financial Crowd Ltd which operates Crowdfudning Place has adequate capital reserves as per FCA regulations and company credit status is monitored. We have subordinated loan from third party company with excess of quoter million pounds to provide us with security and financial prudence.

5. MARKET CONDUCT 

Property Crowdfunding is new rising industry across the world. We are always up to date with updates, changes and news to make sure we are on top of the game. 

6. CUSTOMER'S INTEREST

Our fees are fully transparent and provide every piece of information about an property investment opportunity that we have on our portal.

Our technology is state of art and deal sourcing is our second nature for our investment team. 

7. COMMUNICATION WITH CLIENTS 

Our technology is state of art and our customer service is second to none. 

8. CONFLICTS OF INTEREST 

We are always serious about any kinds of conflicts of interest and we are impartial and open to protect customer interest. 

9. CUSTOMERS RELATIONSHIP AND TRUST

In order to operate within the regulatory framework outlined by the FInancial Conduct Authority, we are always serious about compliance and treating customer fairly. You will also notice important risk warnings all over our portal. 

If we fail to comply with the FCA rules, there is a substantial fine and a potential of up to 14 years of prison sentence.

10. CLIENT's ASSESTS 

We DO NOT HOLD customers money. Our partners Mango Pay who hold money during process of funding offering holds all required by law licences to provide secured and reliable service for customers. Our solicitor partner PLS Solicitors are one of the biggest and most experienced solicitors practices in UK and are regulated by Solicitors Regulation Authority. 

11. RELATIONS WITH REGULATOR

We are open and honest and are always willing to provide answers and cooperate with regulator. 

 

3.1.4 What if Crowdfunding Place goes bankrupt?

Each property are held in Special Purpose Vehicle  which means that it cannot be affected by the close of Crowdfunding Place.

3.1.5 What happen if target offering funding money is not met ?

Crowdfunding Place provides an extension to the funding period of a further 14 days.

It will be applied providing 75% of the funding target has been raised, by the original closing date of the offering.

If not full amount of money invested will  be returned to investors. 

3.2 Platform Overview

3.2.1 Technical specifications

Our platform is created by award winning software developers from Canada JOI MEDIA. 

At Crowdfunding Place, we use advanced firewalls and Secure Socket Layer (SSL) technology as well as automatic sign-out to keep your personal information secure.

3.2.2 Where your servers are located ?

Our secured and relaible servers are located in UK. 

3.2.3 Is there any restrictions to access to your portal ?

We provide full access to portal for registered users. We aim to provide 24/7 service all year round and we reserve right to withdraw service without notice if deemed nessesary by Crowdfudning Place management. 

3.3 Crowdfunding Place Q&A

3.3.1 When Crowdfunding Place was established

Crowdfunding Place was established in July 2014 with aspirations to become first global property crowdfunidng platform for everybody.

3.3.2 Directors

There are two vastly experienced directors of the company – Paul T Lajszczak and Adam Mitula. They are business partners who have been working in the property industry since 2007. Their combined experience includes owning and running two financial advisory firms and overlooking 300 mortgage and property deals a year, owning and managing letting and estate agents for the last 5 years, establishing a solicitors practice and a number of other business ventures. They invest heavily in properties and have enormous experience and feel for property market.

3.3.3 Other important members of staff

Other members of staff are experts in the field of marketing, property, finance and customer service. All of them are vastly experienced in their fields and provide great support to the team.

3.3.4 Company Head Office

Crowdfunding Place has head office in iconic building of Islington Wharf in the city centre of Manchester. 

3.3.5 Experience

The Crowdfunding Place team has many years of experience in the property market. The company works in finance and legal sectors, sources deals, developments and lettings. We have been using experienced and trustworthy third parties to conclude all relevant research.

3.4 Compliance and Regulations

3.4.1 Financial Conduct Authority

Crowdfunding Place is a trading style of Place4Financial Crowd Ltd, an Appointed Representative of Financial Brokers Ltd are directly authorised and regulated by the Financial Conduct Authority (no: 547619).

We are curently consider to become directly authorised by Financial Conduct Authority to provide higher level of security for our investors as well as to conclude conduct of business fully independent and with direct rugulator control. 

3.4.2 Information Commissioner's Office

Crowdfudning Place is operating under Place4Financial Crowd Ltd has a valid Data Protection Licence number ZA171366.

All personal data are secured stored on our database.

3.4.3 Money Laundering Regulations

Place4Financial Crowd Ltd operating as Crowdfunidng Place is managed according to Money Laundering Regulations and has a nominated officer appointed.

Our nominated officer's role is to aware of any suspicious activity in the business that might be linked to money laundering or terrorist financing and if necassary to report it.

3.4.4 Funds security and protection

The funds invested on Crowdfunding Place  are held of escroft account operated by MangoPay which hold money licence to operate

In case of default of MangoPay customer funds are segregated and protected from any third parties demands

3.4.5 HMRC and tax regulations

Crowdfunding is a relatively new industry accross the world, and because of that HMRC is very keen to ensure that our accounts are accurate and protected. Crowdfudning Place have a very structured approach to the way we collect and distribute funds.

We have to ensure that everything is accurate and we have regular audits to ensure clarity. 

3.4.6 Can I make complaint ?

We are aiming to provide best possible customer service and clear answers to each question of our customers. 

However if you feel unsatisfied by our service you are more then welcome to make complaint to us. 

To make compaint you can do this orally or verbally: 

By calling to us on +44 161 850 17 21 

By writing to us - Islington Wharf 145 Great Ancoats Street M4 6DH Manchester United Kingdom

By emailing to us - complaints@crowdfundingplace.co.uk 

We aim to resolved each complaint we receive. If you are not satified with outcome you are free to proceed futher with your compliant. 

You also have the right to complain to The Financial Ombudsman Service (“FOS”). The FOS, is a free service to consumers for the impartial resolution of complaints. 

You can also now make a complaint through the European Commission’s Online Dispute Resolution Platform - https://webgate.ec.europa.eu/odr/main/index.cfm?event=main.home.chooseLanguage

3.5 Fully Shariah Compliant

Interest and Fees

Sharia prohibits acceptance of specific interest or fees for loans of money. There is always a number of properties on sale which are not geared and therefore there are is interest to be paid. The whole income is purely from rent.

Haraam Investments

We do not let properties to businesses that provide goods or services considered contrary to Islamic principles (e.g. pork or alcohol).

3.6 T&C and Privacy Policy

3.6.1 Terms & Conditions

Please see current terms & conditions of our portal Crowdfunding Place. 

3.6.2 Privacy Policy

Please see current privacy policy of our portal Crowdfunding Place. 

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3.7 Risk Warnings

3.7.1 Risk warning

Investing in property and companies can be very rewarding, but it involves a number of risks and challenges. If you choose to invest through Crowdfunding Place, you need to be aware of and accept five important considerations:

3.7.2 Loss of capital

Property prices can go down as well as up and different property types or those in different areas may be more or less susceptible to reduced or negative growth. By investing in property through Crowdfunding Place, there is a risk that you may not get back what you put in if property prices fall and you should only invest as much as you can afford to loose and as part of a diversified portfolio. Most startups fail, and if you invest in a business through the platform, it is significantly more likely that you will lose all of your invested capital than that you will see a return of capital or a profit. You should not invest more money through the platform than you can afford to lose without altering your standard of living.

3.7.3 Illiquidity

Any investment you make through the platform will be highly illiquid. There is no secondary market for the shares of the investee company. This means that you are unlikely to be able to sell your shares until and unless the investee company floats on a securities exchange or is bought by another company. Even for a successful business, a flotation or purchase is unlikely to occur for a number a years from the time you make your investment.

3.7.4 Rarity of investments

If a property receives rent this will be paid to the investors as a dividend net of any fees, costs and expenses. However, should a property not produce rent, or the rent be insufficient to cover the costs and expenses of operating the property, no dividends will be paid and you will be unlikely to see any return on your investment until the property is sold. Startups rarely pay dividends. This means that if you invest in a business through the platform, even if it is successful you are unlikely to see any return of capital or profit until you are able to sell your shares in the investee company. Even for a successful business, this is unlikely to occur for a number of years from the time you make your investment.

3.7.5 Diversification

Investing in property and startups should only be done as part of a diversified portfolio. This means that you should invest relatively small amounts in multiple businesses rather than a lot in one or two businesses. It also means that you should invest only a small proportion of your investable capital in startups as an asset class, with the majority of your investable capital invested in safer, more liquid assets.

3.7.6 TAX

You will be responsible for the payment of your own tax which may include capital gains and/or income tax. We do not provide tax advice and you should seek independent tax advice before investing if you are unsure of your position. It is still your responsibility to ensure that your tax return is correct and is filed by the deadline and any tax owing is paid on time. If you are unsure how this investment will effect your tax status you must seek professional advice before you invest. Each company you invest in will be liable for, and pay, corporation tax and any returns you receive will be paid to you net of any corporation tax due.

3.7.7 Past Performance

The value of property may go down as well as up and you may not get back the full amount you invested. You should not consider investing unless you can afford a total loss of your investment. Past performance is not a reliable indicator of future results.

3.7.8 Future performance

Any projections of future performance are based on the internal calculations and opinions of Crowdfunding Place and are subject to change at any time. Forecasts are not a reliable indicator of future results and should not be relied on.

3.8 Glossary

3.8.1 SPV

Special Purpose Vehicle - company whose operations are limited to the acquisition and financing of specific assets (property)

3.8.2 BMV

Below Market Value - property bought for the price cheaper then its value

3.8.3 LTV

Loan-to Value - ratio of a loan to the value of an asset purchased.

3.8.4 HMO

House of Multiple Occupation – it is a house which is let out per room to a number of individuals.

3.8.5 Restriction on Title

Title on which are added special conditions which need to be meet before property could be sold. 

3.8.6 SIPP

Self Invested Pension Plan. An individual pension plan through which you can invest in your chosen investment including investment into companies shares and commercial properties.

3.8.7 HPI

House Price Index which measure house price inflation in United Kingdom.

3.8.8 Dividend

Payment to shareholders made by Limited or Public company in UK. 

3.8.9 Gearing

Form of loan/mortgage for limited company ( SPV ) to finance or refinance property purchase. Gearing most time has personal guarantees on directors of SPV/Limited company. Most times gearing not affecting shareholders or beneficiary shareholders and DO NOT required personal guarantes from them.

3.8.10 Beneficiary Interest

Intrest of person in shares/property or other assests which he or she not own directly but remain in full control of it. 

3.9 How to Contact Us

3.9.1 By Phone

Head Office +44 161 850 10 21

London Office +44 203 642 41 74

3.9.2 By Email / Contact Form

For general enquiries please use - hello@crowdfundingplace.co.uk

For payments enquiries please use - payments@crowdfundingplace.co.uk

For cooperation please use - partners@crowdfundingplace.co.uk

Crowdfuding Contact Form

3.9.3 By internal message inside our portal

We provide our investors with tools which enable communication inside portal using secure messages and alerts. 

3.9.4 By post

Crowdfunding Place 
Islington Wharf 
145 Great Ancoats Street
Manchester M4 6DH
United Kingdom

3.9.5 Face to Face

We are more then happy to arrange appointment with our member of staff to answer any questions which you may have

3.9.6 On social media

We are on most social media platforms such as Facebook, Linkedin, Twitter. Visit our social media sites make your comments. 

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