What is crowd investment?
Crowd investment is a practice of raising small amounts of money from a large number of people as a form of investment to fund real estate projects, provide cash advance for small business capital, purchase tax liens certificates on properties, and other projects.
Is crowd investment safe?
Yes. The platform we use is very secure as it uses 128 bit encryption, the very same encryption that is used by major banks the world over. It also sets a time limit of 15 minutes to inactivity so that your membership cannot be accessed without your knowledge if you forget to log out.
Solid Oak endeavours to create a safe, supportive and secure member community. We vet and approve all of our investors before membership access is granted and every investment opportunity before it is offered.
Additionally, our platform is based on the highly successful ‘all-or-nothing’ crowdfunding model. This means that the funds you have invested will only be used when the deal you chose to invest in has reached its targeted amount.
Is real estate crowd investment legal?
Yes. While property crowd investment may be a new concept, we’ve made sure that it is compliant with the appropriate state, territory and federal laws.
How does it work?
Solid Oak curates various investment opportunities in real estate, business capital, and tax liens to be presented on this platform. Before these deals are offered, we conduct thorough risk assessments or due diligence by evaluating each property based on multiple criteria to ensure that the deals are the best investment opportunities with highest yield and lowest risk. Once offered, investors are able to select the deals they are interested to invest in by signing up on our platform. and once it is completed, some legal documents are signed and the investor submits their funds, after which their investment will be final. These will be held securely at a highly rated financial institution until the chosen deal’s investment goal is met, and the transaction is completed. The total funds are then channeled into the deal, to be used for its specific purpose. If it’s used as a hard money loan for a real estate development, the lender will make their monthly payment with interest, which will be the investor’s return. In case of cash advances for small business capital, the investor’s return per month will be a percentage of the lender’s debit/credit card sales. The return from tax liens investments come from the property owner’s repayment of delinquent tax amount, with interest. These returns are transferred to the investor’s account periodically, and at the end of the investment period when the deal is paid off, the investor has the choice of withdrawing the initial investment or reinvesting it into other deals.