Co-founder of Affari Miei Independent Financial Advisory Company
July 4, 2023
Are you looking for information about Finnextathe equity crowdfunding platform of the chamber system?
But above all, you are interested in investing in equity crowdfunding? Then you’ve come to the right place because today we are going to analyze the characteristics of this platform, his advantagesThe disadvantagesi costsand above all we will try to understand something more about investing in equity crowdfunding and its own risks.
In fact, before analyzing the characteristics of the platform, it is also important to deal with the risks of the investment, since this type of investment is able to give you significant returns, however, in the face of a risky investment.
Enjoy the reading!
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A few words about Finnexta
Finnexta is an equity crowdfunding platform of the chamber system. It was created by Innexta Scrl, and is at the service of Italian companies.
It is a platform that is now a point of reference in the finance and credit sector for small and medium-sized Italian enterprises, which are most of them in Italy.
The goal of the platform is to support the Italian entrepreneurial fabric and consequently help and stimulate the best innovation in the country.
The headquarters are in Milan.
Come funziona l’Equity Crowdfunding
After having framed the platform, let’s try to understand briefly what this investment consists of.
Investors who join the campaigns promoted on the platform buy shares of the PMI innovative oh you startup. Since they become de facto shareholders, the return for them will be that of obtaining dividends from the future revenues of the companies themselves, or of the returns that will be generated by the sale of the shares of the company itself.
Each campaign will then have all its own information: therefore it will be written how much is missing to achieve the objective, when is the expiry date and therefore investors will be enrolled in the company as new members.
This investment method was introduced in Italy by Legislative Decree 179/2012 (decree for development bis) converted into Law 221/2012. The relevant legislation is the Consob regulation.
If you are interested in learning more about the topic you can read this guide.
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How does Finnexta work?
The objective of the platform is to support the Italian entrepreneurial fabric and at the same time the best innovation in the country.
Precisely for this Finnexta supports and supports the PMI in their investment plans and also offers investment opportunities.
But now let’s see in detail how this platform works.
We can say that for a investor There are 4 steps to follow:
Registration on the portal: first of all you need to register and create an account on the platform;
Project choice: the second step is to choose a project, then identify among all the projects in the collection those that are most interesting;
Project information: after choosing the project, it is also important to download and read all the related information, and consequently evaluate the risks;
Invest in the project: the last step is obviously the definitive one, i.e. making the investment and monitoring it on the platform, to always be aware of the progress of the campaign.
Also for who presents the project and therefore for a entrepreneur that is looking for capital there are 4 steps to follow:
Registration: the first step is always the same, you need to register and present your business project;
Launch the campaign: after registering you must then launch the campaign, then complete the process and then go online;
Promote the campaign: it is important then to promote the campaign, then communicate it and tell the entrepreneurial project, to ensure that interested inventors arrive;
Collect investment: the last step is then to collect the investment, then reach your collection goal and start your own project.
Minimum investment
There is no minimum investment, also because the minimum number it varies for each campaign that you find on the portal, therefore the minimum investment amount is defined in the company’s capital increase resolution.
The costs of Finnexta
The platform does not include any cost and therefore no commission for the investment transaction.
Verification of appropriateness
Innexta verify that every investor has the level of knowledge and experience necessary to be able to fully understand the characteristics of the investment, therefore to understand in detail how to invest, and above all also that he can better understand the risks deriving from this investment.
The suitability check therefore it is carried out on the basis of the information that is provided by the investor, and which is then collected through a questionnaire on the portal. Subsequently, the relative communications will be made to the investor, after having received the outcome of the verification of appropriateness.
The company will carry out the verification of appropriateness autonomously, having the information provided by the investors available by completing the questionnaire.
The investor will therefore have to answer this questionnaire, which can have both a positive and a negative outcome: in the event of a negative outcome, the investor will still be able to proceed with the investment, and will be informed again of the risk of losing the entire invested capital.
I yields
If you are here it is likely that at the end of the day you are interested in earningsnaturally.
However, we must say that the earnings relating to investment in SMEs and startups are in fact very uncertain and uncertain, since, a bit like with equity investments, there are no certain returns.
It is therefore good that you know that there are no certain gains, since it is an investment variable returneven if the earning opportunities are higher than other investments that are usually classified as “safe”, such as deposit accounts.
Investment information
A campaign ends with success when the minimum funding target, defined at the time of the capital increase resolution, is reached. If the investor has made the transfer and thus successfully completed the investment process, then he acquires the title of shareholder of the company in which he has invested. From then on, he will have the administrative bodies of the company as his sole contact person.
A campaign can however also to fail and therefore fail, and in this case therefore the minimum collection objective is not achieved. What happen? The capital fully subscribed by the investors is credited back to each investor’s current accounts.
Withdraw from the investment
The manager assures investors the right to be able withdraw from the membership order, without having to incur any expense, but only by communicating to the manager himself, within seven days from the date of the order.
The Consumer Code also allows you to exercise your right to change your mind within 14 days of joining. In all cases, the amounts already paid will be refunded at no cost.
Tax benefits
Investing in innovative SMEs allows you to obtain tax benefits.
The natural persons they have a deduction from the gross IRPEF tax equal to 30% of the amount they invest, while the maximum quantitative limit on which to determine the deduction is equal to an investment of 1 million euros per year.
The juridical questions instead they can obtain a deduction from income for IRES purposes of 30% of the amount invested. The maximum quantitative limit to the investment on which to determine the deduction is equal to 1.8 million euros.
Opinions of Affari Miei on Finnexta
Now that we have finished our discussion, let’s try to draw some conclusions about the platform and try to understand a little more about it.
As we have seen, it is a secure and regulated platform, so from a security point of view you shouldn’t have any problems. The problem lies in the inherent risk of the investment.
The platform comes with a very fluid and easy to understand site, so you shouldn’t have any difficulties signing up and using it.
Under the profile ofoperation so there shouldn’t be any problem here either.
I know I’ve already told you, but the problem arises when you decide to invest, and above all when the investment is taking place and is about to end.
Investing in SMEs or startups really is riskytherefore I can advise you to think about this investment only when you are already an investment expert, or in any case I would advise you against opting for a similar investment if you are a beginner.
The biggest problem you may find yourself facing is in fact the one related to the capital loss: precisely for this reason, do not invest if you have little liquidity, or if this liquidity could be of use to you in the short term, or if you are in any case a risk-averse person.
Don’t have the warranty on the capital, in fact, it is a factor to be taken into due consideration.
Another factor you need to consider is the tempo: often these are new companies, innovative SMEs or in any case startups in their early stages, so if you really want to get returns you will have to be very patient and wait for the company’s investment choices to bear fruit.
The only advice I can give you and which I hope you will follow is related to the training: try to study as much as possible and become aware of the world of investments, and above all do not make rash choices that could then lead you to regret.
However, if you are aware of the risks, you are interested in this investment and you want to venture out, then I’ll leave you some interesting guides that you can use to try to seize the best opportunities of the moment:
You are looking for profitable investments with high potential? Read the updated guides with the best opportunities of the moment:
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