Money that works at home: How to invest directly in companies and real estate
28/08/2026
28/08/2026
Where does the money we invest go, and what value can it create in our local economies? Investors are increasingly looking beyond expected returns to consider the tangible impact of their investments. Crowdinvesting enables them to finance specific companies and real estate projects directly and participate in their growth. Marek Baranyai of the regulated investment platform Crowdberry explains how this form of investing works, what it offers companies and investors, and the risks involved.
The principle of raising funds from a large number of people is not new. One notable historical example is Joseph Pulitzer’s 1885 campaign, which raised more than $100,000 to complete the pedestal of the Statue of Liberty. Approximately 125,000 people contributed, with most donations amounting to one dollar or less. A geographically and culturally closer example is Prague’s National Theatre, whose construction was supported by public donations from across society.
In these cases, however, people contributed without expecting any financial benefit. Crowdinvesting works differently: individuals directly finance specific companies or real estate projects with the aim of earning a financial return. They can provide capital in the form of a loan or acquire a minority equity stake in a company.
It is growing steadily. Investors are increasingly looking for ways to diversify their portfolios and invest directly in companies or real estate assets they know and understand. They want to know where their capital is going, how it is being used, and what tangible impact it can have.
Today, more than 16,000 investors from Slovakia and the Czech Republic are registered on the Crowdberry platform. Over more than a decade, upwards of 50 companies and real estate projects have been financed through the platform, with total invested capital exceeding €100 million and more than €7 million paid out to investors in returns. The companies financed include well-known names such as GymBeam, Isadore, Refresher, MultiplexDX, Eyerim, Footshop and Sensoneo.
Alternative investments are thus gradually becoming a natural part of modern portfolios. Crowdberry’s core purpose is to connect ambitious Slovak and Czech companies with investors who want to put their money to work directly in the real economy.
A company gains more than funding alone. It receives what is known as smart capital—a combination of financing, investor expertise and valuable connections. The capital is provided on terms agreed in advance, through an institutional-grade process comparable to those used by private equity funds or banks.
Crowdberry acts as an investment partner throughout the process. It assesses the company, structures the transaction, prepares the legal documentation and manages communication with investors. It provides companies with investment expertise and access to capital, while giving investors access to vetted companies and projects. The result is a combination of funding and expertise that can help a company strengthen its market position and achieve long-term growth.
First and foremost, access to vetted investment opportunities that are not normally available to individual investors on the public market. The platform manages the entire process—from the legal and transaction structure to regular reporting throughout the investment’s life cycle. Investors also have the opportunity to engage with the investment team, as well as with the founders and management of the companies being financed.
The minimum amount for opportunities on the platform generally starts at €1,000. This allows investors with smaller amounts of capital to spread their money across several opportunities and reduce concentration risk.
The process begins with registering on the investment platform and completing an online identity verification, similar to the process used by banks. Registration and opening an investor account are free of charge. Once verified, investors gain access to the available investment opportunities and their supporting documentation.
The expected return and investment horizon depend on the type and risk profile of the individual investment. Loan investments typically have a term of one to three years and offer a predetermined interest rate, which may range from approximately 6% to 16% per annum for opportunities on the platform. Although the interest rate is set in advance, its payment depends on the company’s ability to meet its obligations.
Equity investments generally have a longer horizon, typically ranging from three to ten years. Returns depend on the growth in the company’s value and are usually realised through an exit—the sale of the equity stake—or potentially through dividends. An expected return is therefore never a guarantee of future performance.
A platform should be more than a marketplace where investors and companies meet. Its role is to select and professionally assess investment opportunities, analyse risks, establish the investment structure and legal framework, and provide reporting throughout the life of the investment.
When choosing a platform, investors should verify whether it is regulated and supervised by the relevant authority, how transparently it communicates its processes, risks and returns, and what long-term results it has achieved.
Crowdberry was among the first platforms in the region to be authorised as a crowdfunding service provider under the European Crowdfunding Service Providers Regulation (ECSPR), under the supervision of the National Bank of Slovakia. The regulation establishes clear rules for platform operations, transparency and investor disclosures. It does not, however, guarantee the repayment of an investment.
Actual performance is therefore equally important—including successfully repaid loans and completed sales of companies and projects through which investors have realised their returns.
They should base their decisions on concrete data, rather than relying solely on brand recognition or the advertised return. The platform provides investment materials containing information about the company’s financial performance, business model, market, team, growth plan and identified risks.
For loan opportunities, we prepare a credit score that reflects the company’s financial health and the overall quality of the investment. This is one of the factors used to determine the interest rate. As a general rule, investors should demand a higher return in exchange for assuming greater risk. The quality of the collateral is also important: it may mitigate a potential loss, but it can never eliminate the risk entirely.
The investment platform therefore acts as the first professional filter, but the final decision remains with the investor. Investors must understand what they are investing in.
We focus on two main areas: small and medium-sized enterprises and real estate. These are primarily companies with a proven product or demonstrated demand that need capital to expand, enter new markets or pursue further development.
The businesses span sectors including technology, e-commerce, retail, logistics, healthcare, services and biotechnology. In real estate, opportunities may include residential developments, logistics facilities, retail parks or senior housing. This breadth of sectors also enables investors to allocate capital across different types of opportunities.
Depending on the needs of the individual company, the amount may range from hundreds of thousands to several million euros. Companies most commonly use the capital to scale their operations, expand into new markets, increase production or service capacity, purchase inventory, or finance strategic acquisitions.
The permitted use of the capital and the investment terms are specified in advance. For loan investments, the maturity, interest rate, interest payment schedule and principal repayment structure are all clearly defined.
Banks manage customer deposits, operate under strict regulation, and base their lending decisions primarily on historical financial performance and the strength of the collateral. In many respects, our process resembles bank financing, including the selection of opportunities, credit scoring, contractual documentation and security arrangements.
The difference is that our assessment goes deeper into the underlying business and its future potential. This enables us to finance companies that are growing, have a strong product and compelling prospects, but do not fit standard bank lending criteria. The higher risk and greater flexibility of this type of capital are naturally reflected in its cost—and therefore in the potentially higher return available to investors.
Crowdinvesting does not necessarily have to replace bank financing. In practice, we work with projects in which both sources of funding complement one another, and banks recognise capital provided by Crowdberry investors as part of the overall financing structure.
The main risk is the partial or complete loss of the invested capital. Investors finance a specific company or project, and if it underperforms or becomes insolvent, repayment is not guaranteed. These investments are not covered by a deposit guarantee scheme. Claims such as “100% guaranteed” or “guaranteed return” should therefore be treated as warning signs rather than reasons to invest.
Risk can be managed in three fundamental ways. The first is diversification: instead of investing in a single company, investors should spread their capital across several opportunities. The second is choosing a regulated platform with transparent rules. The third is conducting a thorough assessment of the project, its economics, risks and collateral.
Crowdinvesting is not a substitute for a savings account. It is a higher-risk investment that may complement a well-diversified portfolio.
Examples can be found across loan and equity investments, as well as real estate.
Kellys, a European bicycle manufacturer, raised €1 million through a six-month loan to finance working capital and components for the 2026 season. The interest rate offered to investors was set at 9.8% per annum. Repayment was linked primarily to sales already contracted for the season, while the investment was secured against bicycle inventory. A bank participated in the financing alongside the investors.
Purgina, a family-owned company with a 30-year history, used a loan from investors to purchase the materials required to fulfil a major contract. This allowed the company to support its growth and focus on further development. The interest rate offered to investors was set at 12.9% per annum and paid according to an agreed repayment schedule.
Completed investment stories include projects by property developer KLM Real Estate. In 2020 and 2021, Crowdberry investors invested almost €1.5 million in a logistics and distribution facility in Nitra and a development site in Trnava. Following the successful sale of the properties in 2024, the total amount paid out to investors exceeded €2.7 million. This represented almost twice the capital invested over approximately three and a half years, equivalent to an average annual return of around 20%.
Footshop is an example of an equity investment. Investors participated in several funding rounds and acquired a combined 7.2% stake in the company. Following a subsequent transaction and the company’s stock market listing in 2023, the investors’ investment was settled.
Another prominent example in the real estate segment is Parq Zátišie, a residential development in Bratislava by property developer Atrios. The project raised €6 million from Crowdberry investors to finance the construction of a new urban neighbourhood.
However, the historical performance of individual investments cannot automatically be applied to new opportunities. Every company and project has its own risk profile.
Successful companies generate profits, pay taxes, create jobs and deliver innovation. With access to capital, they can grow and compete internationally. Our goal is to enable Slovak and Czech investors to participate in that growth while keeping at least some of their capital working within their domestic economies.
Slovakia has relatively few domestic investment funds, while regulatory requirements limit banks’ ability to finance certain companies. Funds also operate according to clearly defined investment strategies, which even a high-quality business may not fit. Crowdinvesting can help bridge this gap by opening access to capital for a broader range of companies and investors.
When domestic capital finances a domestic company, its impact extends beyond a single transaction. The company can create jobs and economic value, investors can reinvest the returns they earn, and the money remains in the local economy. Crowdinvesting is therefore not only an investment instrument, but also a way to help build a stronger domestic capital market.
*Investments involve the risk of partial or complete loss of the capital invested. Your investment is not covered by a deposit guarantee scheme.