- Original Poster
- #1
In relation to property developing - I am wondering if anyone knows what procedure online crowdfunding companies use in order to verify that the funds received from the pool of investors satisfy Proof of Funds required by the purchasing solicitor.
The reason I ask this question is that when you register for a crowdfunding company you will go through a full ID check, eligibility check and KYC check, then you are able to invest.
A recent example of this was company raises £100,000 to develop a property from 10 external investors all inputting £10,000 each through the crowdfunding, company goes to make the purchase only for the solicitor to ask for Proof of Funds from each individual investor. Of course this is a requirement and rightly so, but I was wondering how other crowdfunding companies have dealt with this situation.
The reason I ask this question is that when you register for a crowdfunding company you will go through a full ID check, eligibility check and KYC check, then you are able to invest.
A recent example of this was company raises £100,000 to develop a property from 10 external investors all inputting £10,000 each through the crowdfunding, company goes to make the purchase only for the solicitor to ask for Proof of Funds from each individual investor. Of course this is a requirement and rightly so, but I was wondering how other crowdfunding companies have dealt with this situation.
