8 call for common standards developments in the crowd funding sector

8/6/2019 8 Call for Common Standards Developments in the Crowd Funding Sector

1/24

XBRL EuropeTrack : Interactive data sharing

Call for Common standards in the Crowdfunding SectorJouko Ahvenainen, Director at Grow VC companyLionel Slusny, Director at Loft Solutions France


2/24

| 2

Agenda

1. Context - The Open funding market & players

2. The need for data sharing & standards

3. Current & future initiatives

4. Case study : GrowVC - Data sharing interface

Duration : 1 hour

Speakers

Jouko Ahvenainen, Director at Grow VC companyL ionel Slusny, Director at L oft Solutions France


3/24

| 3

` N ew financial market for funding individualsand companies through online platforms

` In Europe, market growth of > +80 % p.a.

` A crowdfunding definitionCrowd funding describes the collectivecooperation, attention and trust by peoplewho network and pool their money and other resources together, usually via theInternet, to support efforts initiated by other people or organizations

C rowdfunding

C rowdfunding

Peer-to-peer lending

Peer-to-peer lending

Friends tofamily

Friends tofamily

OnlineMicrofinance

OnlineMicrofinance

PersonalFinancial

Management

PersonalFinancial

Management

Open Funding players

Open funding players represent new funding market, yet still very fragmented and with growing competition


4/24

| 4

B etween the industry-players

` Exchanging data about funding opportunities

` Exchanging data about funded investments

` Enabling new platform features

With other stakeholders

Each company requires to exchange data aboutits activity and actual loans to different

stakeholdersx R egulatorsx Shareholdersx Institutional investorsx Suppliers

Marketview

Marketview

C ommonmethodo-

logies

C ommonmethodo-

logies

ITEfficiency

ITEfficiency

AssetTrans-actions

AssetTrans-actions

Integration

Integration

W ith growing competition, exchanging data is becoming key


5/24

| 5

` Asset definitionsEquityDebtx Amortised / In finex Interest rate datax

Events : repayement, extension, defaults,

` P roject detailsx Activity sector x Fund allocation

` Lender & B orrower characteristicsx

Gender x Work activitiesx Educationx Location

` Transaction metricsx Amounts fundedx L isting timex Funding timex R eturn

C ommon standards will allow cross-

players transactions and increased

integration that this sector requires


6/24

| 6

` Crowdfunding platforms - European Consortium currently being gathered in B russels Association to be defending legislation and common data sharing standards

` P rivate initiativesP rosper.com filing every loan with SEC through common standards

Calls from experts in the US for a Crowdfunding association, developping common data sharing standards

` P ublic initiatives

` Future initiatives : e.g. X BRL workgroup ?


7/24

| 7

` Grow VC International offers a new global service to enable earlyphase companies access to funding

` Open new investment market more equal opportunities toachieve dreams as an investor or entrepreneur

` Grow VC opens the startup asset class to more people not tocompete with the existing players, but to open a whole new market

` Grow VC is a true community of practice involving entrepreneurs,ordinary investors and advisors

x A lot more than a digital intermediary

` Target to get different funding networks to work together


8/24

1. Community Fund 2. P rivate Investment 3. Work Investment


9/24

1. Funding roundL imits and stateThe state is managed by the system and defined usersR ules to manage the state

2. Funding instrumentE.g. micro-investment (through fund or similar structure), direct investment, or work investmentEach intrument has its own qualitative and quantitative elementsStandard could include a minimum set, but also an option to add new instrumentsL imited permissions to modify

3. Members: Funder (i.e. investor) and StartupN ame and address the minimum information for identification

Standard should define a minimum set of information and an option to add other fieldsL imited permissions to modify

www.growvc.com 9


10/24

www.growvc.com 10

Funding Round is an object that includes parameters and

it is always linked to a startup and several offers.


11/24

www.growvc.com 11

E ach main object has several parameters, free fields

and parameters with restricted value


12/24

1. P 2P and C rowd1. P 2P and C rowd- -fundingfundingvia Community Fund investments


13/24

2 . Match2 . Match- - making andmaking and negociatingnegociating tooltool

for Pr ivate investments


14/24

3 . Reward professionals3 . Reward professionalsW ork investment scheme


15/24


16/24


17/24

E ach company has a funding round linked to itself, it can be active or not

active


18/24

www.growvc.com 18

Funding process for a startup; startup can have one funding round at once, but

several consecutive


19/24

` Grow VC P latform developed using anopen architecture that takes advantageof emerging web based tools andpractices

` The Grow VC P latform is a fully webbased, L AMP stack application builtusing the symfony PHP and other opensource libraries

` AP Is to mobile application, and under construction to 3rd party services

` The Grow VC P latform uses a relationaldatabase for data persistence and theMySQ L database engine is used indevelopment

` Apache web server used


20/24

` Open A P I to other services` B ased on modern standard tools and database solutions` Support for several languagues and characters` N ot only interfaces to other finances services, but also

e.g. to social networks, mobile platforms, and widgets` Minimum set of information for each object, with an

option to add more elements and information

www.growvc.com 20


21/24

www.growvc.comTwitter: @growvc


22/24

Lionel SlusnyDirectorMobile: +33 6 50 68 66 88Landline & Fax : +33 1 46 94 66 [email protected]

Loft Solutions France

55 Avenue Marceau75116 Paris

Brussels | Paris | Luxembourg


23/24

| 23

` A unique blend of finance expertise & innovations

Opt imisa tion

Ope r ational enhancements usi ng management techn iqu es & pur pose- buil t qua ntitative too ls

Finance & r isk managementope r ations

F inance 2.0

Busi ness develo pment

Proc ess enhancements usi ng on line

tools and web ser vices

Online finance playe r s

Investment management

New techno logies integr ation and proc ess o ptimisa tion

Asset manage r s & equity investo r s


24/24

| 24

Core statistics` 7229 registered members

$16 721 135 total capital available$5 000 000 in co-investment funds$13 495 unallocated community funds1 758 total number of startups73 active startups$20 100 501 value of active funding rounds

8 call for common standards developments in the crowd funding sector

Documents