Helping Thailand close the THB1.5 trillion SME financial gap with crowdfunding notes
Investree sees continual growth in crowdfunding and expects to reach one billion THB target in crowdfunding note issuance at yearend. To support and continue this growth, Investree is in the process of raising Serie A funding round to strengthen its platform as an alternative source of fund for Thai SME as well as to be an investment option for investors during this erratic bear market.
“The number of SMEs we helped to raise fund via crowdfunding note issuance grew 28 times between June 2022 and June 2021. We have raised approximately THB 500 million for SMEs since we received the Crowdfunding License from the SEC., while our monthly issuance grew 10 times YoY quarterly. We are currently on-track to achieve our issuance target for this year” said Natsuda Bhukkanasut, Investree Thailand CEO and Co-Founder.
“We see better than expected result from the investor growth, which further confirmed their trust and confidence in our platform as well as investment return, which currently yields 11.5% per annum.
“As 1H2022 market share, Investree’s contribution stood at 20% of the total THB 1.5 billion crowdfunding note volume and 40% of the total SMEs who use crowdfunding platform to raise fund.
Despite the market share, our strategy, which focuses on SME market penetration, tells us that we still have a long way ahead of us. According to its research published in 2017, the International Finance Corporation estimated that Thailand’s SME financial gap stood at THB 1.5 trillion. The current crowdfunding volume is relatively insignificant when compared to the estimated gap and tells us that there is more that we can do. Let us not forget that SMEs contributed to more than 70% of Thailand total workforce (as of 2021) and approximately 35% of Thailand’s GDP (as of May 2022).”
Worakorn Sirijinda, Investree Thailand’s COO and Co-Founder added “Our continual growth and potential addressable market reassures us that there are still many SMEs that are waiting to be supported. Our Serie A fundraising effort will enable us to improve our platform, making it a “Go-To Platform” for SMEs that need funding and Investors who seek investments that give financial as well as social impact return. We also have plans to expand our service area, for better SME coverage, and grow our ecosystem to ensure future sustainability.”
Natsuda concluded that “Investree wants to grow organically and exponentially, which is why we want our platform and ecosystem too operate efficiently and sustainably. Think of crowdfunding, think of investree.co.th.”
