Funding Societies 34

Invest in Funding Societies, a fintech platform in Southeast Asia focusing on loans for small and medium enterprises. Earn a 6% return with a short-term loan of 18 months.

funding gap emerging markets
Funding Societies
Company
Indonesia
Country

The project

Funding Societies is a fintech platform in Southeast Asia focusing on loans for small and medium enterprises (SMEs). The company aims to close the financing gap for SMEs by connecting them directly with private and institutional investors. This enables businesses to quickly attract capital for growth and development.
 

Beleaf: Funded by Funding Societies

A prime example of the impact of Funding Societies is Beleaf, a smart farming company founded by Amrit. Beleaf supports small-scale farmers by supplying them with quality seeds they only pay for after harvest. Additionally, Beleaf offers farmers income insurance against crop loss due to risks such as climate change and other unforeseen circumstances, ensuring their financial stability.

In its startup phase, Beleaf greatly benefited from the growth financing provided by Funding Societies. Four years later, Beleaf is a scale-up attracting larger financing rounds and continues to work with Funding Societies. Amrit shares more about this in the online interview with Lendahand.

Funding Societies on Lendahand

  • Active on Lendahand since: January 2021
  • Total raised: € 8,827,250
  • Already repaid: € 7,610,583
  • Interest disbursed: € 328,629
  • Payments on time: 34 out of 34 (100%)
     

The loan

  • Annual interest rate: 6%
  • Return: 6%. With an investment of €1,000, the expected total repayment is €1,060.
  • Maturity: 18 months
  • Currency: EUR
     

Total impact of Funding Societies through Lendahand

  • Number of loans received by SMEs through Lendahand: 422
  • Average SME loan amount: € 20,909
     

About Funding Societies

  • Founded: 2016
  • Employees: 600
  • Outstanding loans: € 129,156,488
  • Active borrowers: 6,177

Funding Societies

CEO
Kelvin Teo
Founded
2016-11-21
Location
Singapore
Sector
Financial services
Turnover
€9,200,000
Employees
600
€59,810raised
Still €15,190 needed, 53 days to go
228investors
Invest in microfinance
€75,000
target
6.0
%
Interest
18
months
Maturity
6
months
Repayments
A
B+
C
D
E
Credit score

Impact

3
Lives improved

SMEs comprise about 60% of Southeast Asia's GDP and provide most jobs, but they face a $320B financing gap. Funding Societies has stepped in to bridge this gap, financing over €815 million through more than 3 million business loans in the last five years. Their focus lies in short-term credit, typically under 12 months, tailored to meet the needs of SMEs.

The impact of their loans is significant. About 76% of SMEs use their loans for working capital. Many acknowledge that this financing was essential to keep their businesses open and maintain their workforce. Furthermore, Funding Societies fosters women's economic empowerment by supporting female entrepreneurs, who comprise 24% of their borrowers.

Investing in Funding Societies on Lendahand promotes financial inclusion and social mobility in Southeast Asia, more specifically in Indonesia and Vietnam. With Funding Societies, you can contribute to regional development and make a real difference in people's lives.

 

SDGs impacted

With this project, you are contributing to the following Sustainable Development Goals:

SDG 1 - No poverty

SDG 8 - Decent work and economic growth

Read more about the impact you can make through our platform and the SDGs on our impact page.
 

Related blog posts

Read the introduction of Funding Societies as an investment opportunity here.

Want to learn more about Funding Societies? Read our email interview with CEO Kelvin Teo here.

Curious about the impact Funding Societies and Lendahand create together? Watch our interview with Funding Societies’ COO and impact manager, Vikas, here.