Funding Societies Reviews and Comparison - Seedly
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Funding Societies

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  • Reviews (295)
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P2P Lending/Funding Societies
P2P Lending/Funding Societies
4.0
295 reviews
claimed

Claimed

This product is managed by Funding Societies.

USER RATINGS

User Experience

4.4

Portfolio Transparency

4.0

Customer Support

4.3

Quantity of Deals

3.7

Quality of Deals

3.7

Funding Societies

18% on interest earned

INVESTOR FEES

$20 per campaign ($100 initial deposit)

MINIMUM INVESTMENT

1.89%

DEFAULT RATE (2019)

[EXCLUSIVE] S$20 cashback for new users with promo code "SEEDLY20". View promotion under "More Details".

Funding Societies

18% on interest earned

INVESTOR FEES

$20 per campaign ($100 initial deposit)

MINIMUM INVESTMENT

1.89%

DEFAULT RATE (2019)

[EXCLUSIVE] S$20 cashback for new users with promo code "SEEDLY20". View promotion under "More Details".

Details

Funding Societies Review 2020

  • Funding Societies is a peer to peer lending platform in Singapore that specialises in short-term financing for SME through crowdfunding.
  • Investors can get up to 9.82% of returns as calculated by Funding Societies in 2019
  • Investment starts from just S$20
  • Majority of Funding Societies' investments are short-term with a maximum tenor of 12 months 
  • Interest rates are typically between 4% - 8% per annum for the guaranteed
  • For those seeking a loan, there are different financing options from Micro, and Term to Invoice financing.
  • For Investors, choose from a variety of loans you'd like to help finance from guaranteed returns investments to revolving credit.
  • Default Rate: 1.89%
  • Funding Societies scores a 4 out of 5 stars on SeedlyReviews
Read More about Funding Societies
Reviews (295)

4.0

295 Reviews

  • 5
    134
  • 4
    106
  • 3
    17
  • 2
    7
  • 1
    31

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Pinned by Funding Societies

  • Updated on 23 Aug 2020

    Purchased

    Funding Societies

    [User Friendliness] The app has a clean and easy to use UI which is a plus Overall, Funding Societies offer good deals such Property backed Investments which lowers the risk for small average investors like us,showing FactSheets before we make a decision in putting into deals and easy tracking of repayments over a loan period. Will definitely recommend others to us it.

    0

    Post
  • Updated 1d ago

    Purchased

    Funding Societies

    [Lending Experience] Not enough deals and deal time is too short. Always missed the investment time. The auto investment function might not working well.

    0

    Post
  • Updated 2d ago

    Purchased

    Funding Societies

    [User Friendliness] [Portfolio Diversification] Very simple and intuitive UI on the app, it always keeps me updated and notified when new investment opportunities arise. A vast range of investment portfolio from different industries as well to diversify my portfolio!

    0

    Post
  • Updated 2d ago

    Purchased

    Funding Societies

    The sign-up and the onboarding process were well supported by the staff via online chat although it was not that straightforward being an international investor. I like the regular email announcement of new investment opportunities. The auto investment tool at first glance appears a little more complicated compared to what I have seen in other P2P and crowdfunding websites. I cannot yet judge the effectiveness of the auto invest tool as I just got started. Overall, funding societies leaves a solid impression on me, which is why I selected to invest money using their services.

    0

    Post
  • Updated 3d ago

    Purchased

    Funding Societies

    [User Friendliness] New to this and just started using FS and it is really easy to navigate. Signing up was a seamless experience and it didn't take long to understand how to use it. I especially liked their notifications cos they let you know when there are new deals so don't need to check the app often to stay up to date on new opportunities.

    0

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Funding Societies Exclusive Promotion with Seedly

  • Sign up with the promo code 'SEEDLY20' and make a total investment of at least S$200 within 30 days of signing up to be eligible for the $20 cashback
  • Cashback will be credited into your account by the end of the following month when the 30-day period ends
  • Click on the "Visit Site" link or "Apply Now" button to sign up
  • Promotion is applicable for new users only
  • Funding Societies' investor T&Cs apply

How does P2P Lending Work at Funding Societies?

Peer to peer Investment (P2P Investment), also known as P2P lending, is an investment concept where individuals & institutions jointly invest in financing to SMEs and earn returns in the form of interests. Funding Societies connects SMEs sourcing for business financing directly with investors who are looking to participate in P2P Investment as part of their investment portfolio.

Risk Management

Default by the issuer is the primary risk that investors get exposed to with this type of investment. Funding Societies conducts a detailed assessment on the SMEs based on a framework which combines a mixture of hard and soft data including but not limited to credit bureau ratings, bank & financial statements, cash flow projections, site visits, strength of guarantors, marketability of collaterals and business's capacity to repay the facility.

Specifically for Property-backed investments collaterals such as residential or commercial properties owned by the issuers or guarantors, are held with a first lien/charge to mitigate credit risk exposures. These properties may be auctioned to recover the investment amount in case of default.

Investors’ funds are handled by a 3rd party escrow agency, Vistra. Funding Societies also has an in-house Compliance team and internal and external legal counsel to support regulatory and legal matters.

Types of Investments with Funding Societies

Type of P2P Investment

Description

Interest Rate

Guaranteed Property-backed Investment

Investment into a property-backed financing with repayments effectively guaranteed

3% - 8% p.a.

Guaranteed Returns Investment

Investment into a micro financing with repayments effectively guaranteed

2% - 8% p.a.

Property-backed Secured Investment

Investment into a property-backed financing

4% - 8% p.a.

Invoice Financing Investment

Investment into a invoice backed financing

8% - 18% p.a

Revolving Credit Investment

Investment into a revolving credit line granted to SMEs

8% - 18% p.a

Business Term Investment

Investment into a business term financing

8% - 18% p.a

Type of P2P Investments at FS and Interest rates

Funding Societies provides investment opportunities into notes issued by SMEs for financing facilities such as Property-backed Secured Financing, Business Term Financing and Invoice Financing.

The interest charged to the SMEs is the return on investment for the investors who co-invest into the notes through the crowdfunding platform.

For certain investments such as the Property-backed one, SMEs need to provide a residential or commercial property, usually with a first charge.

Also, certain investments have guaranteed repayments for both the principal and interests.

What do you need to know as a P2P Investor?

  • Funding Societies' minimum investment starts from just S$20
  • Majority of the investments are short term with an average tenor of 5-6 months and a maximum tenor of 12 months 
  • Monthly repayment for most products provides liquidity and also allows investors to re-invest quickly
  • Interest rates are typically between 4% - 8% per annum for the guaranteed and property backed notes and goes up to 8% - 18% per annum for Invoice Financing, Business Term Loans and other products.
  • Individuals who are Singapore residents can enjoy tax exemption for their interest returns on investments from the year 2020 onwards
  • ‘Skin in The Game’ philosophy -  Funding Societies co-invests with the platform investors in most notes
  • Engages an escrow agency to manage investors’ money to give investors peace of mind.
  • Sign up through the web or download the Funding Societies mobile app to invest on the go

Fees for Funding Societies

  • Minimum investment for Funding Societies: S$20.
  • Service Fee: 18% on the interest earned. This fee is deducted only after the repayment has been received.

About Funding Societies

Funding Societies | Modalku is the largest debt crowdfunding platform in Southeast Asia. It is licensed in Singapore, Indonesia, and Malaysia, and backed by Sequoia India and Softbank Ventures Asia Corp amongst many others.

It provides business financing to small and medium-sized enterprises (SMEs), which is crowdfunded by individual and institutional investors.

In 5 years, it has helped finance over 2.7 million business loans with over S$1.6 billion in funding. It was given the MAS FinTech Award in 2016, the Global SME Excellence Award at the United Nations’ ITU Telecom World in 2017, Brands for Good in 2019, recognised by IDC as amongst the 5 fastest growing FinTechs in Singapore, and the Stevie® Award in 2020.

Contact Funding Societies

  • Click the "Visit Site" button above to view Funding Societies' website for more details
  • Live Chat on their website, or via Email
  • Tel: 6221 0958
  • Email: [email protected]