Yes. Risk factors are generally described in every offering listed on the Fundscraper platform. With respect to offerings like Fundscraper Property Trust, an offering memorandum is provided and investors are especially encouraged to read the section of the offering memorandum entitled “Risk Factors”. Before you make an investment decision, work with a Fundscraper dealing representative to find out what is most suitable for you!
Funds are held in trust and are deployed to the project only after a minimum threshold of capital has been raised. If a minimum threshold of capital is not achieved, then all funds will be fully returned to investors, plus any interest that may have accrued, less any expenses.
- In the due diligence process, Fundscraper’s Investment Committee will source projects that will have a projected buffer built into the project timeline so that there are allowances in scheduling to keep the investment horizon on pace.
- Preferred equity investments will continue to earn a preferred rate of return.
- Some project investments will have an outside date where the sponsor company is obligated to complete the project and allow the investors to exit the investment. Should this not occur, the sponsor company will be able to exercise its option to extend the project duration or will raise additional capital to allow existing investors to exit.
- Debt investments have a fixed maturity date and few options to extend without penalty. Therefore, the sponsor company will be responsible for paying the interest and principal on time, or else be in default of the loan.
- In any event, you should consult the particulars of any offering as detailed in the offering as posted on the Fundscraper platform or any posting supplement.
It depends on the particular investment. The borrowing sponsor company may or may not be obligated to pay an early repayment fee. However, in some instances, a borrowing sponsor company will be obligated to pay an early repayment fee which will be distributed to the investors.
Securities purchased through the Fundscraper platform are issued pursuant to the rules governing the exempt market. Any resell of such securities must comply with these rules and any such resell may be subject to the prior written consent of Fundscraper. Subscribers wishing to resell their securities should advise Fundscraper and consult a legal adviser familiar with the exempt market rules.
a) The investment offerings provided on the Fundscraper platform range in security seniority and asset collateral. Each investment will have its own characteristics.
b) For equity investments, Fundscraper will always ensure that the investment is tied to a direct interest in the property itself.
There is generally no “minimum term” – the term of mortgages we invest in vary widely and we endeavour to pass on flexibility to our investors so they can move in and out of our opportunities as they present on our platform.
However, Fundscraper investments, like all real estate investments, should be viewed as a long-term (5+ years) investment. We do offer shorter terms (subject to renewal) that are less than 12 months through our Fundscraper Property Trust Investment Vehicle Single Asset Mortgage Pools. If you need cash early, subject to a fee, you have redemption rights as set out in our Offering Memorandum under Redemption Rights.
The minimum investment amount ranges from $5,000 through to $250,000. Each investment offering or project has its own investment minimums.
If you’ve placed your investment within the last 1-2 business days, you should be able to cancel it from the Transactions section of your dashboard. If you have trouble requesting a cancelation, please contact us.
Keep in mind that once your investment order is complete, you will not be able to cancel your order.
It typically takes three to five business days for an investment order to settle from the closing date, at which time you should begin participating in any potential returns.
You can find the expected completion date for any pending orders from the transactions section of your dashboard. If there are any issues, a member of our investments team will be in touch.