Central regions | Finance, business

Russia’s crowdinvesting to grow 25 times within 5 years, analysts forecast

8 Sep '17
In 2016, the Russian crowdinvesting and crowdlending market reached a fairly modest $20m, Firrma reported, citing research data from analysts at VentureClub.co, a Russian crowdinvesting platform.

According to the Central Bank of Russia, Russia’s entire crowd-sector raised around $34m last year, with $20m of this amount generated by four domestic platforms that operate on a purely crowdinvesting/crowdlending model (VentureClub.co, Starttrack, Simex, and Alfa Potok). Globally, the market for crowdinvesting and crowdlending topped $24bn in 2016, according to Goldman Sachs.

The experts believe crowdlending is more popular in Russia than crowdinvesting because it is thought to offer a clearer fund-return mechanism; crowdlending platforms “already compete successfully with banks in SME lending.” On the other hand, PE and angel investors are growing increasingly interested in crowdinvesting as well—despite the fact that angel investors account for only about 20% of total venture investing in Russia, a far cry from 80% in the developed markets.

VentureClub analysts forecast that within just five years Russia’s market for crowdinvesting and crowdlending will reach $500m, hitting a tangible $4.5-5bn mark by 2027 already.

Crowdinvesting, aka equity crowdfunding, is an alternative financial tool to bring capital into start-ups and small businesses from a broad-based microinvestor community.

Crowdlending enables individuals (P2P model) or companies (P2B) to borrow from other individuals via special Internet platforms.
Publish in Twitter
Write to Facebook
Google Buzz
Write to LiveJournal
Show in MM
Share MK
COMMENT ON THIS STORY
Find Related Content

Locations:

Tags: market (273) / crowdlending (1) / crowdinvesting (1) / VentureClub (0) /

Latest News: Central regions
21 Nov '17 | Finance, business | Technology & innovation
20 Nov '17 | Technology & innovation | Retail, FMCG
17 Nov '17 | Technology & innovation
15 Nov '17 | Technology & innovation | Finance, business
 

Feature stories

21 Nov '17
Russian scientists have come up with what they say is...
7 Sep '17
26 Jul '17
Scientists at Tomsk Polytechnic (TPU) in Siberia have...
Search (News archive - 21194)
Advertising
Global_Entrepreneurship_Monitor
Advertising
Marchmont News

Latest News

23 Nov '17
Sberbank and its Russian partners are launching a...
21 Nov '17
Entrepreneurs who invest in start-ups may have their...
20 Nov '17
Moscow scientists have developed a cosmetic solution...

Most read stories from last week

21 Nov '17
Russian scientists have come up with what they say is...
23 Nov '17
Sberbank and its Russian partners are launching a...