Covid-19 crisis does not affect investment appetite of Bolero Crowdfunding members.
7 out of 10 Bolero Crowdfunding members want to invest in Belgian SMEs. And especially in local entrepreneurs.
Tuesday, May 5, 2020 — Bolero Crowdfunding polled more than 1,000 members from 20 April to 28 April on their investment intentions during the Covid-19 crisis. With a short questionnaire Bolero Crowdfunding wanted to find out what kind of crowdlending projects would arouse interest and under what conditions the members want to support new projects in the coming weeks.
The poll shows that there is still a lot of interest in crowdlending:
- 69% of the members are still willing to invest now in crowdlending projects to support the growth plans of our Belgian SMEs.
- 16% is even more willing than before to support Belgian SMEs financially.
- 58% of the members will also judge a crowdlending campaign on different factors than before. For example, they now mainly look at the activity of the company, the sector and financial figures. They want to check how "corona and future-proof" the company is, as it were.
- 57% of the respondents want to invest as much as before, while 22% want to invest a little less now. In 2019, an average of 2,500 euros per investor was invested in a crowdlending project at Bolero Crowdfunding.
- 67% wants to get a similar return as before the Covid-19 crisis. Bolero Crowdfunding's average return on a crowdlending project in 2019 was 6.23% gross interest per crowdlending project.
- 51% wants to take as much risk as before. Almost one in three (32%) is less willing to take risks now.
At Bolero Crowdfunding, an investor can only invest in Belgian SMEs. The questionnaire shows that 60% of the respondents are loyal to the local entrepreneur and want to support more local projects from their neighbourhood.
The Bolero Crowdfunding members do indicate that they are more cautious about crowdlending projects for the catering or entertainment sector.
Werner Eetezonne, CEO of Bolero: "Crowdlending has taken a big step forward in recent years to support SMEs. The poll among our members in full lockdown clearly shows that they are still very willing to support Belgian SMEs financially during these special times. We look case by case for which SMEs a crowdlending campaign can be an extra stimulus in their growth or recovery story. We foresee a quick restart of this market, perhaps before the summer".
At Bolero Crowdfunding we follow the situation closely.
Covid-19 has an impact on everyone, even Belgian SMEs can have a hard time now. That's why Bolero Crowdfunding has contacted all entrepreneurs who have run a crowdlending campaign to provide them with the necessary information where needed. In this way, KBC offers an extensive information package on support measures for SMEs. Bolero Crowdfunding also advises them to communicate as transparently as possible with their investors. Initial contacts show that the companies have the situation well under control, which means that few problems are expected in the short term.
If you have any questions about this press release, please contact Peter De Bruyne, Business Development Manager, by e-mail [email protected] or by phone on 02 429 00 28.
Note for the editor: Bolero Crowdfunding
KBC has been the world's first bank and online broker to launch its own crowdfunding initiative. Thanks to the platform Bolero Crowdfunding, KBC is a matchmaker between the world of Belgian entrepreneurs and Belgian investors in order to contribute to more innovation and an entrepreneurial spirit. In 2019, Bolero Crowdfunding raised 9.5 million euros for 15 SMEs, three times more than in 2018.
In 2019, for example, 5 million euros were raised for the real estate fund of Caenen Capital Fund and 500 000 euros for Belgian Cycling Factory, the Belgian bicycle manufacturer of brands such as Ridley and Eddy Merckx.