Introduction
Borrow up to €250,000 for your business, from 6 to 24 months. Corporate and Personal Guarantees may be required.
- You apply via TFGcrowd Marketplace.
- We evaluate your company and provide a quote and terms.
- If you accept the quote and terms, an agreement to raise financing on TFGcrowd Marketplace platform is signed.
- We list the invoices on TFGcrowd platform.
- Investors provide financing for the loan for a set term and return.
- You receive the finance and repay it with interest, based on agreed repayment schedule.
- Repayments are automatically transferred to the Investor’s accounts.
- At the moment TFGcrowd Marketplace accepts only companies registered in Germany, UK and Baltic states.
Fees Structure
| Service Fee | 2-5% |
|---|---|
| Cost of funds/annum | 12-36% |
| Contract Term | 6-24 months |
| Security | subject to underwriting |
Frequently Asked Questions
We've put together the most frequently asked questions and more information about Business Loans.
What is TFGcrowd Marketplace?
TFGcrowd Marketplace is the place, where businesses looking for finance meet investors looking for investment opportunities. Small and medium sized businesses can raise financing on TFGcrowd Marketplace either in the form of loans or as invoice financing. TFGcrowd Marketplace evaluates the companies looking for financing and, based on their financial indicators, creditworthiness checks and the collateral they can grant, sets their limits and offers them access to the TFGcrowd Marketplace platform, where they can raise the necessary financing from verified investors.
How does the business loan funding process work?
Companies apply for a loan via TFGcrowd Marketplace, providing all the required documents for verification and evaluation of the company. Once the company has been evaluated, TFGcrowd Marketplace provides a quote and offers the terms on which the company can list their loan on the TFGcrowd Marketplace platform. If the company accepts the terms and the quote, an agreement to raise funding is signed and the loan is listed on the TFGcrowd Marketplace platform, giving verified investors the chance to invest in financing the loan for a set term and return. Loan agreements between each investor and the borrowing company are signed and funds from investors are transferred to the borrowing company. The borrowing company repays the loan with any accrued interest based on the repayment schedule agreed between the borrowing company and the investors.
How long does fundraising take?
TFGcrowd Marketplace advises for a typical fundraising campaign to be listed on the TFGcrowd Marketplace platform for 30 days, but many campaigns raise the necessary funds much sooner than that. An option to extend the fundraising campaign is also offered, at the borrowing company’s discretion, if the necessary funds have not been raised during the agreed fundraising period.
How much can my business borrow through TFGcrowd Marketplace?
Businesses can borrow up to €250,000, subject to approval from TFGcrowd Marketplace, after it has carried out careful evaluation of the company’s financial indicators, creditworthiness checks and the collateral you can grant.
For what periods can my business borrow through TFGcrowd Marketplace?
Typical loan periods range between 6 and 24 months, subject to approval from TFGcrowd Marketplace, after it has carried out careful evaluation of the company’s financial indicators, creditworthiness checks and the collateral you can grant.
What interest rate will my business pay?
Typical interest rates offered on the TFGcrowd Marketplace range between 16% and 36% per annum. The interest rate paid by your business is determined by a number of factors, such as length of the repayment period as well as potential risks involved and is subject to approval from TFGcrowd Marketplace, after it has carried out careful evaluation of your company’s financial indicators, creditworthiness checks and the collateral you can grant.
Can my business have more than one Business loan?
Yes, but restrictions apply. For example, we usually require a period of between 3 and 6 months of repayments from your previous loan before considering a second loan application. There are also limitations on the total outstanding liabilities undertaken by any one company through the TFGcrowd Marketplace platform.
Can my business pay back a loan early?
Yes, you can repay your business loan in full at any time, but you will also have to pay all the agreed, unpaid interest for the whole duration of the loan.
Does a company director have to apply for the loan?
Yes, only company director/directors, who are authorised signatories of the company can apply to raise funding for a business loan through TFGcrowd Marketplace. The director needs to complete both the verification process of the company and personal verification, as well as sign all the required documents.
What happens if my loan is not fully funded?
An option to extend the fundraising campaign is offered, at the borrowing company’s discretion, if the necessary funds have not been raised during the agreed fundraising period. If the loan does not reach fully funded status during the extension period, businesses are offered the option to withdraw from the loan agreements by repaying any funds which they have already received back to investors or to proceed with the loan agreements that have been concluded.
Can I cancel my loan request?
Once you have accepted your loan contract and your loan has been listed on the TFGcrowd Marketplace, you won’t be able to cancel your loan funding request.
Invoice Financing
Credit line up to €200,000, depending on your company evaluation and creditworthiness checks. Up to 90% of the invoice value, from 30-120 days.
- You apply via TFGcrowd Marketplace.
- We evaluate your company, any invoices you want to finance and provide a quote and terms.
- If you accept the quote and terms, an agreement to raise financing on TFGcrowd Marketplace is signed.
- We list the invoices on TFGcrowd platform.
- Investors provide finance for a set term and return.
- You receive the finance and repay it with interest, based on agreed repayment schedule.
- Repayments are automatically transferred to the Investor’s accounts.
- At the moment TFGcrowd Marketplace accepts only companies registered in Germany, UK and Baltic states.
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