How it works
From registration to your first payout
Everything you need to know about investing on CrowdedHero, step by step.
Why CrowdedHero?
We bring you
Growing markets
Invest in companies from the Baltic States, Poland, the Czech Republic, Hungary, Slovakia and Ukraine.
Opportunity to receive dividends
Established companies with predictable cash flow can pay dividends on top of share appreciation. Review the terms of each project carefully.
Investments in mature businesses
We look at what a company can become in the next 3–5 years, with the aim of an ideal exit strategy.
Step by step
How to invest
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1
Register an account
Click Register, fill in the form and verify your email address.
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2
Submit KYC
Submit your KYC information and documents, plus a bank account verification document to receive dividends, interest and capital gains.
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3
Investor classification
Continue as a non-sophisticated investor, or submit the sophisticated investor application form.
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4
Pass the test and simulation
Non-sophisticated investors pass a short knowledge test, accept the risk warning and complete a simulation of their capacity to bear losses.
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5
Study the opportunities
Compare projects, weigh the investment risks and press Invest on the one you choose.
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6
Make an investment
Enter the number of shares or bond units, study the investment risks and read the subscription form. Accept the Terms and Conditions and the shareholders’ agreement (equity) or the DLT Bond Subscription Agreement (bonds) from the project documentation.
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7
Proceed with payment
Pay by card (up to €5,000) or bank transfer (up to €100,000). Funds stay segregated until the campaign closes successfully and are returned if it misses its goal. They reach the project owner only after your shares are registered in your name (equity) or your bond is recorded on the bond registry (DLT bonds).
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8
Become a shareholder or bondholder
Equity: you appear in the SPV’s shareholders’ register, and the SPV holds the company’s shares on your behalf. DLT bonds: your bond is recorded directly in your name on the DLT bond registry — no SPV is involved.
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9
Stay connected and earn
Follow the company’s news and performance. Equity: receive dividends and profit from selling your shares on exit day. DLT bonds: receive coupon interest during the term and your principal plus yield at maturity.
Investment models
Equity or DLT bonds
Equity
- Read the shareholders’ agreement carefully.
- Enter into a shareholders’ agreement with an SPV created to consolidate investments.
- Study the Key Investment Information Sheet.
- The SPV becomes a shareholder in the company you invested in.
- You appear in the SPV shareholders’ register.
- The SPV distributes dividends and represents investors at exit.
The SPV, a joint stock company, pools the investors and holds the legal title to the shares on trust for you, as described in each project’s Key Investment Information Sheet.
DLT Bonds
- Read the DLT Bond Subscription Agreement and the project’s Key Investment Information Sheet (KIIS), and enter into a subscription agreement with CrowdedHero.
- Your subscription amount is transferred to the project company as the bond issuer.
- Your bond is recorded in your name on the bond registry — a digital ledger on distributed ledger technology (DLT), under the German Electronic Securities Act (eWpG).
- During the term, receive coupon payments at the agreed interest rate, paid semi-annually.
- At maturity, receive full repayment of your principal together with the agreed yield.
Your money stays protected
Funds are held on the project owner’s payment account until the campaign closes successfully, and are transferred only after your shares are registered in your name (equity) or your bond is recorded on the bond registry (DLT bonds). If the campaign misses its goal, your payment is returned. The platform never has access to investors’ or project owners’ funds.
