Singapore-based p2p financing company Capital Springboard has announced its official launch today. The platform, which allows investors to purchase short term invoices. have already incurred over 1,300 invoices worth S$80 million (US$60 million) in trades since it launched its pilot in July 2015.
Capital Springboard is not backed by VCs but by UK-based assets management company Centurion Group. It will focus on bringing on board accredited or institutional investors and not retail investors. The team is comprised of financial experts who hail from HSBC and Standard Chartered, its CEO Roger Cook was formerly the chief executive of Global Forwarding.
In the press release it said that “accredited Investors can open a Capital Springboard trading account held by escrow agent, Vistra Trust (Singapore) Pte. Limited, with a minimum investment of S$50,000 (US$37,000) and withdraw their undeployed funds at any time.”
Vistra Trust is regulated by the Monetary Authority of Singapore (MAS).
In a press statement, Capital Springboard said that investors can stand to benefit from “returns of 11-25 per cent depending on the grade of risk of the invoice, during a 90 day investment window.” Crook told e27 that the platform will, however, focus on the quality rather than the quantity of the trades.
“We will focus on sectors that have good economic prospects and opportunities. Due to market conditions, we will not be focussing on construction and oil & gas companies,” said Crook.
Which SMEs would qualify?
To qualify, your company needs to be at least a year old and has to be registered in Singapore. It also needs invoices averaging 90 days and amounting to a minimum of S$25,000 (US$18,600), and have an existing business relationship with a debtor.
Crook said that Capital Springboard also has a thorough credit scoring system that rates the credit score of the company from A+ to F.