...in Belgium and Luxembourg.
Raizers aims for a European dimension, which is not easy given national regulations. After Paris and Geneva, the start-up or opened an office in Brussels that also serves Luxembourg. Quick start. And noticed. Last September, Raizers won the Eureka Award 2016 at Innova Brussels.
"We offer two types of investments," explains Johann Domas-Conzemius, Head of Development in Belgium and Luxembourg. Either the acquisition of stakes in the start-up's capital in the form of shares, which currently represents 95% of our activity, or the bond loan if the company is already on track."
The company was created in 2014 by the French Grégoire Linder and the Swiss Maxime Pallain; the platform was put online in January 2015. The two founders' ambition was to provide new and relevant investment solutions that would allow everyone to save and diversify their assets. Compared to competing platforms, Raizers relies on its presence in four countries, which is a very interesting strategic positioning since the main reason when a start-up wants to raise funds is to internationalize.
Raizers has not set limits on the sectors to be promoted, but notes that it is the "business to consumer" projects that are the most popular. Currently, the distribution is 40% in innovation and is fintech, 30% in luxury and 30% in real estate.
"However, we limit management to five or six projects at the same time," continues the head of the Brussels office. However, the upstream work remains important. For 30 projects, the company analyzed 1600 files. The selection is draconian.
Raizers' range of interventions covers calls for funds from EUR 50,000 to EUR 1,000,000. With an average currently running between 150,000 and 300,000 EUR. "In Belgium and Luxembourg, we will rather turn between 50,000 and 300,000 EUR. We want to be able to support projects from start to finish," continues Johann Domas-Conzemius.
As for the company's remuneration scheme, the starting point - when the project is selected - is 5,000 euros, a sum intended to cover in particular audit and communication. Once the capital has been collected, Raizers then grants itself a commission of 10% (less the 5,000 euros). A decreasing percentage depending on the amount.
The objective is to offer an alternative solution to European residents in order to better manage their savings and enable them to diversify their assets. Johann Domas-Conzemius concluded: "We now claim 30% foreign investors on each of our fundraising campaigns and now have 80 nationalities on the platform!