Case Study: Eureeca.com
HLD Partners are working to democratise philanthropy so that ordinary people can direct their savings for worthy projects or enterprises. HLD understand that philanthropy does not have to mean sponsorship of the Arts, or charitable giving, but is equally as effective in the form of smaller scale social entrepreneurship
In early 2013, HLD Partners invested in Eureeca, the first global online Crowdfunding platform connecting small and medium enterprises with investors. Crowd-investing provides a new means to make funding accessible and creates a more dynamic entrepreneurial economy. In the Middle East, for example, Eureeca facilitates the flow of capital to new, smaller companies providing much needed employment in the Arab World.
Deputy-Chairman, Dr. Nasser Saidi, is a member of the IMFs regional advisory group for the MENA region, Co-Chair of the OECD MENA Corporate Governance Working Group, and Chair of the Clean Energy Business Council. Dr. Saidi formerly held several ministerial positions within the government of Lebanon and served as First Vice-Governor of the Central Bank of Lebanon, 1993-2003.
In early 2013, Eureeca helped the Capital Markets Authority in Lebanon to produce the first Crowdfunding regulation in the world. The regulation is customised to suit the Eureeca business model. This will in effect make Eureeca the world's first entity to obtain the right and correct licenses covering activities undertaken by any equity Crowdfunding platform.
Eureeca.com Testimonials
Eureeca.com also encourages fund seekers to offer opportunities for early exit, where investors can sell shares back to the entrepreneur at an agreed rate on an agreed date and also provide benefits, such as lifetime loyalty discount cards, free products and subscription benefits.
The National, January 7 2013
Dubai-based Eureeca will offer growing businesses access to investment from a ‘crowd’ starting from $100 to more than $250,000. The platform is open to both serious and part-time investors, who will in return receive an equity stake in the SMEs in which they invest.
Arabian Business, May 18 2013
According to co-founder Chris Thomas, relying on "the crowd" adds greater investor protection than if the money had come from a more formal source such as a bank.
BBC World, June 4 2013