P2P (peer-to-peer) is peer-to-peer crediting or crowdfunding. The essence of this system is that any individual, and sometimes a company, can obtain a loan from other natural persons or legal entities without involving financial organizations in this process. The loan is issued for a certain term and at a certain interest. P2P platforms allow the borrower and lender to find each other, assess and verify the borrower, regulate the relationship between the parties and transfer the investor’s money to the borrower, withholding a commission. If the borrower delays the return of funds, the platform can charge a fine and even file the case to court.
To conduct crowdfunding business in the EU, you need to obtain a consumer lending and public finance license. The term for obtaining such a license in Lithuania is one month, minimum authorized capital of a company is 40 000 euros.
To obtain the license, it is necessary to draw up a business continuity plan and rules for assessing the creditworthiness of borrowers, which should describe the procedures for ensuring smooth operation of the lending platform under all circumstances.
Do you wish to obtain a P2P lending license in the EU territory? Contact us and get professional consultation.
- Preparation of documents for obtaining a consumer lending and public finance license;
- Registration of a company in Lithuania, with all the necessary documents;
- Accounting, preparation of the necessary reports for your company for regulatory authorities;
- Lawyer consulting;
- Preparation and conduct of audit.