The government of Malaysia started regulating the P2P financing industry in 2016. At the time, six platforms were recognized as registered peer to peer financing Malaysia platform operators. AlixCo is one of these platforms, and it specializes in equity crowdfunding for startups. B2B Finpal, Fundaztic, and Funding Societies are also shariah-compliant and also use escrow to verify issuers and investors.
Rates
The P2P financing platform AlixCo has been launched with the intention of helping women entrepreneurs in Malaysia. As a result, the company has zero default rates for women borrowers. Women-led startups are not getting the funding they deserve compared to their male counterparts. With this in mind, AlixCo P2P Financing has launched a program for women entrepreneurs in Malaysia. The company is aiming to provide funding at 0% interest rates.
As an accredited financial institution, Alixco’s P2P financing platform offers a regulated and certified platform that is a fully-owned subsidiary of FBM CrowdtechSdn Bhd. The company also manages the equity crowdfunding platform FundedByMe. It boasts an average return rate of 14% per annum and a low default rate of 1.3%. As a result, investors can feel comfortable investing in Alixco.
Background check
If you are considering applying for an investment with Alixco P2P Financing, you should first do a background check on the company. This online equity crowdfunding service operates in Malaysia and is operated by FundedByMe, a Swedish company with approximately 86,000 investors in 196 countries. To date, Alixco has raised EUR 37 million in total for 472 companies. Its management is comprised of former World Bank executives and is located in Malaysia.
Once the Issuer has gathered 80% of the funding goal, he instructs ALIXCO to circulate the proposed legal instrument. The Investor must then respond within six (6) business days, and before the Investment is disbursed to the Issuer. In some cases, the Company may allow a refund if a technical error or incorrect data entry error was the reason for the investment.
Service fee
ALIXCO P2P Financing charges a one-off service fee (excluding applicable tax and the payment processing fees charged by the Payment Provider) to its investors. This service fee covers administrative services provided by ALIXCO after successful fundraising has been completed, such as communicating with investors and drawing down the funds. In addition, ALIXCO reserves the right to charge its Users a service fee for any services provided to them.
The fee charged by the P2P platform is between 1% and 3.9% of the loan amount. Fees vary depending on the type of finance and the term of the loan. Other licensed P2P financing platforms in Malaysia include Funding Societies Malaysia and Alixco. Generally, SMEs should approach the P2P platform operators directly. It is also possible to approach banks or unauthorized agents and apply for bank loans.
Diversification
If you are looking for a good P2P lending Malaysia platform, consider investing in equity crowdfunding. Alixco P2P Financing is a Malaysian equity crowdfunding platform that has registered as a P2P Market Operator with the Securities Commission of Malaysia. The company also has a partnership, a Swedish crowdfunding platform, which has over 250,000 investors in 196 countries. The platform has raised EUR 55 million in funding for many different companies. The company has an acting trustee partner, Maybank Trustee Berhad.
Investors looking to diversify their portfolio should be aware that there are risks involved with investing in P2P. While there are some risks, investors should understand that their funds may lose all or part of their initial investment if the borrower defaults on payments. In some cases, the platforms may pursue legal action against the borrower to collect repayments, but there are no guarantees. To minimize these risks, investors should diversify their portfolio by investing in different industries, platforms, and risk ratings.