DEALSTREETASIA: Equity-based crowdfunding platform Asian Crowdfunder has launched its operations in Malaysia this month, and is in the process of starting operations in Singapore, Indonesia and Thailand. The pan-Asian platform, which claims to be accessible to vetted accredited investors only, is founded by an international team of experienced and successful entrepreneurs and asset managers backed by decades of experience.
The three co-founders are Frank Holle of Quant Asset Management Pte Ltd, Graham Paling of Mongoose Publishing and Kenneth Kolb of Hot Can bring nearly a century of experience in investment management and successful business management.
Currently Asian Crowdfunder features three Malaysian companies – Sid’s Pubs headed by Geoff Siddle, looking to grow from six successful outlets to 40 successful outlets; FiRe FITNESS headed by fitness celebrity Dave Nuku and Mike Lamb who aim to transform the way fitness is approached in Malaysia; and Impulse Studio, a German technology that uses EMS to help people achieve their fitness goals.
In a press statement, the platform operator said that its main goal is to provide accredited investors from across the world, access to Asia’s tremendous growth opportunities at an early stage, and provide Asian entrepreneurs with capital and knowledge to help level up their ideas and businesses.
Partner and co-founder Holle said that equity crowdfunding (ECF) has been, by far, the most revolutionary financial innovation he has seen in his 25 years of investing. “ECF is changing the way small businesses raise money. With the government realising its importance and setting regulations, Malaysian business now have an even better chance of tapping global investment markets,” he said.
Asian Crowdfunder enables accredited and sophisticated investors to invest in companies raising funds on the Asian Crowdfunder platform and gain equity (ownership) of the company invested in. It is, however, not among the six platform registered with the Securities Commission.
Explaining its platform, Asian Crowdfunder said accredited investors can browse pitches, which contain information about the business, the founder and the growth plan along with videos, photographs and supporting documents on the platform.
The investor can choose to invest in a particular business or make an alternate offer. Once the investor has invested a certain amount, it will be held in an escrow trust account till the successful completion of the pitch (90 days or earlier).
If the pitch is successful, the business will approve the investors and the money is moved from the escrow to the business in return for company shares. Where the pitch is not successful, the money will be returned to the investor.