KOM Group B.V. – Licensed Crowdfunding Service Provider
Since 30 November 2022, KOM Group B.V. has held a European Crowdfunding Service Provider licence issued by the Dutch Authority for the Financial Markets (AFM), and is registered under number 32000003.
KOM Group operates under various labels, including Capital Circle, and is authorised to provide the following crowdfunding services:
- Facilitating the granting of loans
- Applying credit scores to crowdfunding projects
- Recommending the price and/or interest rate for crowdfunding offers
The AFM maintains ongoing conduct supervision over crowdfunding service providers as platforms. In addition, the Dutch Central Bank (DNB) is responsible for prudential supervision, which includes monitoring financial safeguards such as the available own capital of the service provider.
Capital Circle – What It Is (and Is Not)
According to AFM definitions, Capital Circle is not:
- An investment company
- A bank
- A (mutual) investment fund
- An asset manager
Capital Circle does not provide investment advice. It is important to note that lending money to SMEs via crowdfunding through the Capital Circle platform involves risk, including the potential loss of your full investment.
For more information, visit the AFM website.
Responsible Investing & Regulatory Considerations
The AFM advises consumers to invest only a responsible portion of their available capital in crowdfunding and to diversify across multiple projects. As a guideline, the AFM recommends investing no more than 10% of your freely investable assets in crowdfunding.
Please note that crowdfunding services are not covered by the Deposit Guarantee Scheme, and the instruments permitted under crowdfunding do not fall under the Investor Compensation Scheme.