Frequently Asked Questions
The minimum investment is $1,000.
You can get started by signing up for free and getting accredited. We ask you to provide specific information pertaining to your financial eligibility and integrity. All investments and transactions are conducted online.
According to the SEC, “accredited investors” (i) earn at least $200,000 per year, or $300,000 per year with their spouse; or (ii) have a net worth of at least $1 million, excluding principal residence. For the SEC’s full definition, please visit http://www.sec.gov/answers/accred.htm.
After signing up on the platform, visit your profile and select “Accreditation” on the sidebar. We will ask you to verify that you meet all SEC criteria for accredited investors, as well as by confirming your ability to do the following:
(a) represent that you have such knowledge and experience in financial and business matters that you are capable of evaluating the merits and risks of investment opportunities in private companies generally, and you are able to bear the economic risk of such investments including the risk of complete loss.
(b) understand that Brelion will rely on the foregoing representations to, among other things, maintain compliance with securities laws,
(c) certify that your answers to the foregoing questions are correctly stated to the best of your knowledge, information and belief,
(d) agree that Brelion may require (in order for you to remain a member of Brelion or participate in any fund investment) that you (or your accountant or attorney) furnish any additional information to Brelion that it deems reasonably necessary in order to verify your answers to the foregoing questions, and
The full details of Brelion offerings are currently only available to accredited investors.
Brelion primarily lists non-owner occupied residential as well as small to mid-size apartments/commercial projects.
In debt financing, you invest in a company’s project with the understanding that your money will be paid back with interest, usually on a periodic basis.
In equity financing, your investment purchases a percentage of a company’s project. You won’t receive periodic payments, but will share in the profits that the project yields.
Yes. Brelion does due diligence on individual projects and on each company. However, due diligence is as much an art as a science, and we cannot be 100% certain that our due diligence process has uncovered all relevant information. We recommend doing your own due diligence to supplement what Brelion does.
Yes, and Brelion strongly encourages you to do so. We post a substantial amount of information regarding our projects and real estate companies. If you think you need more information, feel free to ask us.
No. While Brelion provides investors with information on projects, properties, and real estate companies, our platform does not make recommendations on individual investments. An investor must come to their own decision regarding any particular investment. If you’re not sure, you should consult with your own financial and investment advisors.
Brelion provides some educational material, including blog posts on different types of projects and common investment strategies. However, we neither recommend any particular investments nor provide any direct investment advice.
That’s entirely up to you and your investment advisors. As a general matter, many people recommend a balanced portfolio that includes both low-risk and high-risk investments (“diversification”), based on lots of factors including your age and tolerance for market fluctuations.
Many investment professionals encourage diversifying your portfolio as much as possible.
An offering closes to further investors upon receiving commitments for the full amount of its funding target.
Brelion is an online platform that crowdfunds real estate projects: we connect real estate companies seeking financing for residential and small-to-midsize commercial projects with accredited investors.
Brelion helps real estate companies gain fast and fluid access to cash for residential and commercial projects, with financial stability on transactions and a strong infrastructure for communicating/reporting to crowd investors. Our methodology is more efficient and less bureaucratic than financing performed by traditional banks or private lenders. Brelion provides a short-term finance solution of 12 to 24 months on average.
First you must submit a form for the project(s) you want funded. Upon receiving your submission, our team reviews information on the property, the desired loan, and your history as a company. Our account manager then contacts you with a further explanation of the process and pre-vetting.
With debt financing, investors pledge funds toward your project with the understanding that you will pay their money back with interest, usually on a periodic basis.
If your project is financed with debt, you pay monthly interest on your loan while it is outstanding. Distributions are made quarterly, and you pay the principal in full after the project is completed.
If your project is financed with equity, you do not have to pay monthly interest, but must share a percentage of any profits the project ultimately yields.
Brelion collects an administrative fee and a listing fee from the company after funds are raised. Real estate companies are also responsible for a 1 to 2% loan servicing fee.
Real estate companies are required to bring a minimum of 20% of equity to a project.
For projects financed with debt, you pay interest on a monthly basis. Distributions are made quarterly and the principal is paid off at the exit.