LANDE – Deep Dive
Overview
LANDE, established in 2019 by Nikita Goncars, is a pioneering peer-to-peer (P2P) lending platform dedicated to the agricultural sector. Recognizing a niche in the crowdlending market for low-LTV investment deals, Goncars founded LANDE to address this gap. The platform emerged from the merger of LendSecured, an agricultural crowdfunding platform, with LANDE’s farmer-focused credit services, setting the stage for expansion across Europe. LANDE’s mission is to empower farmers by providing accessible financing options to enhance their production capabilities. Since its inception, LANDE has facilitated an average loan amount exceeding 2 million €, offering an attractive average interest rate of 10.9% to its investors.
Key advantage of the platform
LANDE stands out in the P2P lending landscape with its steadfast commitment to secure investment opportunities. The platform notably ensures that all projects are backed by adequate security measures, offering investors a layer of protection against potential borrower defaults. Additionally, LANDE’s prudent approach is exemplified by its 60% Loan-to-Value (LTV) threshold. This conservative LTV ratio acts as a safeguard, reinforcing investor confidence by minimizing exposure to risk and enhancing the security of their investments.
Track records
Historical returns
Data not available
Default rate
Data not available
Total investment on the platform per year
Data not available
Total cumulative investment on the platform
Data not available
Investment opportunities
LANDE is a peer-to-peer (P2P) lending platform that allow investor to invest in the agricultural sector.
The minimum amount to invest into LANDE’s project for investor is 50 €.
| Type of project | Funding for Daugumnieki IV | Funding for Self-employed farmer | Funding for G.Blūmanes zemnieka saimniecība TILTMAĻI |
| Amount | 49600.00 € | 4200.00 € | 22300.00 € |
| Interest rate | 11% | 12% | 11% |
| Term | 24 months | 36 months | 12 months |
| Collateral type | Land | Machinery | Harvest |
| Collateral value | 83800.00 € | 10000.00 € | 42290.00 € |
| LTV | 59% | 42% | 53% |
| Description | This project provides LANDE investors with an opportunity to finance an agricultural loan secured by a first-rank mortgage on the real estates, loceted in Rikavas parish, Rēzeknes region and two tractors – MASSEY FERGUSON MF 6713 and McCORMICK MC130. | This project gives LANDE investors an opportunity to provide funding in the amount of 4 200 € for Self-employed farmer to receive a loan for working capital. | This project gives LANDE investors an opportunity to provide funding in the amount of € 22 300 for a farming company G.Blūmanes zemnieka saimniecība TILTMAĻI to receive a loan for working capital. |
All project are secured with collateral such as Personnal guarantee and 3-way agreement (grain buyer, LANDE, farmer) for the loan type seasonal funding, Commercial pledge for the loan type machinery loans and Mortgage loan for the loan type Land buying.
Investing process as a retail investors
- To begin investing on LANDE, prospective investors must first register an account. This step involves submitting essential personal and financial details, including name, surname, email, phone number, and ID card. The process also includes a thorough Know Your Customer (KYC) and Anti-Money Laundering (AML) verification to ensure compliance and security.
- Investors then explore the array of investment opportunities available on LANDE. The platform presents each project with in-depth information, aiding investors in conducting their due diligence. Detailed pages offer insights into the project’s scope, investment specifics, timeline, and borrower information, facilitating informed decision-making.
- After reviewing the investment particulars, investors can opt to invest directly in a chosen project or use LANDE’s Auto Invest strategies. The Basic Auto Invest strategy, starting from as little as 50 EUR, automatically allocates funds to new projects without specific criteria selection. Alternatively, the Advanced Auto Invest, beginning at 250 EUR, enables investors to tailor their investment based on criteria like interest rate, LTV, and term.
- Post-investment, investors can monitor the progress of their investments via their LANDE account. Regular updates on the projects provide transparency and keep investors informed about their investment’s status.
- LANDE processes all project funding in euros. While transfers in other currencies are possible, they will be converted to euros based on the investor’s bank’s exchange rate. LANDE has partnered with LemonWay, ensuring secure and efficient investment transactions.
Team and management
The LANDE team has been in the lending and real estate business for over ten years. This team is responsible for implementing and executing the company’s strategy, in addition to overseeing its daily activities.
Nikita Goncarsg, CEO of LANDE
Nikita Goncars is the CEO of LANDE, a position he has held since June 2019, focusing on improving access to finance for EU farmers. He was a Board Member at Rent MGMT and Chairman of the Board at Secured Finance MGMT. Goncars co-owned Latvijas Hipotēka for over nine years. Academically, he holds a Bachelor’s degree in Finance from Banku Augstskola and completed ACAMS Training in AML, as well as an AI course at the University of Helsinki.
Janis Laivins, Head of legal & Compliance of LANDE
Janis Laivins is the Head of Legal and Compliance at LANDE, a position he has held since December 2019. With over four years of experience in this role, he plays a crucial part in overseeing the legal aspects of LANDE’s operations. Additionally, Laivins contributes to the broader industry as the Chairman of the Latvian Crowdfunding Association, a role he has fulfilled since June 2021. His expertise in legal matters also extends to his previous position as the Head of Legal at Latvijas Hipotēka, where he served for seven years from January 2013 to December 2019. His professional journey in the legal field, particularly within the financial and crowdfunding sectors, demonstrates a robust understanding of the legal intricacies associated with peer-to-peer lending and crowdfunding in Latvia.
Kristine Lace, Head of Loan portfolio management of LANDE
Kristine Lace currently serves as the Head of Loan Portfolio Management at LANDE, a position she has held since June 2023. Prior to this role, she was the Head of Legal at Legal Balance SIA from September 2021 to June 2023, where she also held positions as Senior Lawyer and Lawyer in the same year. Her earlier professional experience includes working as an Administrative Assistant to the Chief Executive Officer at Newsec from October 2019 to January 2021, and as a Chief Administrative Officer at Syform from March 2016 to September 2019, both positions based in Riga, Latvia. In terms of academic background, Kristine Lace has a Bachelor of Laws (LLB) in Law from Biznesa augstskola Turība (Turiba University). Additionally, she holds a Bachelor’s degree in Cosmetology/Cosmetologist General from the International College of Cosmetology in Riga.
Mission and Values
LANDE is dedicated to empowering the agricultural sector with its mission to provide accessible, custom-tailored financing solutions for farmers. This initiative facilitates their growth and scaling, enhancing productivity and efficiency. At its core, LANDE values financial inclusion, committing to support sustainable agricultural practices and stimulate economic growth within the farming community. By offering low Loan-to-Value (LTV) investment deals and pioneering financial services, LANDE aspires to be a catalyst for change and development in the agricultural finance landscape.
Trustfulness of the platform
Key investors of the company
Data is not available
Institutional lenders
There aren’t any institutional investor using the platform to invest on private credit.
Licenses
LANDE actively collaborates with the supervisory authority Financial and Capital Market Commission (FCMC) and is currently in the process of obtaining the European Credit Service Provider (ECSP) license. However, LANDE has not yet received validation for the ECSP license.
Fees and charges
Investing through LANDE is completely free of charge. LANDE does not charge any fees for opening an account, withdrawing funds. There are no fees applied in Secondary Market.
Liquidity and exit options
There is an existing secondary market that provides investors with the option to sell their investments to another LANDE investor before the investment’s maturity date.
Users feedback
| Trustpilot | |
| Average rate | 3,7/5 |
| Good review | I’ve been using LANDE for over 10 months and I’m really pleased with it. In particular with the customer service, which has been attentive, fast and transparent with me when I had to deal with a calculation issue relating to a loan that had just been repaid in full. It’s true that some loans can be 3 to 4 months late. However, LANDE’s communication with regard to these problems seems to have changed in recent months with the introduction of regular information from the platform on the progress of the procedures for reimbursing users. This is a small but interesting platform offering collateral backed agriculture loans. |
| Bad review | Lande is super slow on updating investors. Also loan updates are too slow. Some loan can be defaulted couple of month ago but Lande is waiting for a miracle from the borrower. LTV doesn’t mean anything and collateral should be only Land or Machinery. |
Risk Analysis
Investors using this platform should exercise caution and carefully consider the inherent risks involved before investing. It is crucial to understand the platform’s risk mitigation strategies employed to safeguard their funds.
Credit risk
Borrower default risk
LANDE implements a stringent borrower assessment process, accepting only about 5% of all project proposals, indicating a highly selective approach to ensure quality and reliability. The platform places significant emphasis on protecting investor interests, notably through a Loan-to-Value (LTV) threshold capped at 60%. This policy ensures that the loan amount does not exceed 60% of the collateral asset’s value, thereby offering a cushion against potential market fluctuations. Despite the rigorous vetting process, LANDE’s website currently lacks detailed disclosure regarding the specific methodologies employed for borrower assessments. This lack of comprehensive information on their assessment criteria might leave some aspects of the borrower selection process unclear to potential investors.
Platform risk
Operational risk
LANDE diligently manages operational risk by adhering to stringent data protection standards within the European Economic Area (EEA). The platform ensures the secure transfer and storage of investor data, utilizing robust encryption protocols. This approach safeguards investor information on LANDE’s servers and those of its partner organizations. Despite these measures, LANDE’s current public communications do not provide explicit details regarding the specific methods and technologies employed to fortify the security of its technology platform. This absence of detailed information about their technological security measures might leave some aspects of their operational risk management unclear to users and stakeholders.
Regulatory risk
LANDE, a peer-to-peer (P2P) lending platform, operates under the watchful eye of the Financial and Capital Market Commission (FCMC), upholding regulatory compliance. The platform has undergone primary due diligence by the FCMC and has received authorization to operate while its application for the European Crowdfunding Service Provider (ECSP) license is being processed. This ongoing pursuit of the ECSP license demonstrates LANDE’s commitment to regulatory adherence and its proactive approach in aligning with evolving European financial regulations. The platform’s efforts to secure this license underscore its dedication to maintaining a regulated and trustworthy environment for its users, thereby enhancing investor confidence in its services.
Platform failure
LANDE, a peer-to-peer lending platform, acts as an intermediary, facilitating investments in projects originated by borrowers. The platform ensures that all projects are backed with collateral, including personal guarantees, three-way agreements (involving grain buyers, LANDE, and farmers), commercial pledges, and mortgage loans. In terms of financial transparency, LANDE provides investors with access to unaudited financial reports and performance indicators. Should LANDE face insolvency or cease operations, the team commits to fully cooperating with state authorities and designated representatives. This cooperation is aimed at orchestrating a smooth transition and minimizing potential losses for affected users. LANDE’s approach reflects its dedication to safeguarding investor interests even in challenging circumstances, reinforcing trust and reliability in its platform.
Liquidity risk
LANDE’s platform features a Secondary Market that offers increased liquidity to investors by enabling them to sell their investment claim rights to other registered users. This facility allows investors to exit projects early, simultaneously providing opportunities for others to step in and earn passive income from these investments. Such a feature enhances the overall fluidity of the investment process on LANDE, creating a dynamic environment where investments can be bought and sold among users. This aspect of LANDE’s platform demonstrates their commitment to providing flexible and investor-friendly solutions in the peer-to-peer lending space.
Fraud risk
Borrower fraud
LANDE, functioning as a broker between investors and borrowers, diligently verifies the authenticity and integrity of all loan listings on its platform. The meticulous borrower profile examination results in a selective project acceptance rate of around 5%, underscoring LANDE’s commitment to quality and reliability. To further ensure investor security and confidence, LANDE implements a Loan-to-Value (LTV) threshold of 60%, providing a safeguard by ensuring loans do not exceed 60% of the collateral value. The collateralization of projects, which may include personal guarantees, 3-way agreements (involving grain buyers, LANDE, and farmers), commercial pledges, and mortgage loans, adds an additional layer of protection for investors. However, it’s noteworthy that LANDE does not publicly disclose specific instances of fraud or their resolution strategies, which might lead to some uncertainty among investors regarding the handling of such scenarios.
Platform fraud
LANDE, in its commitment to secure investment operations, partners with LemonWay, a reputable payment solution provider active since 2007, to manage financial transactions. Despite this alliance, the inherent risk of fraud remains a consideration, as LANDE oversees investors’ funds held at BNP Paribas bank. This arrangement potentially allows platform managers to access and manage these funds, raising concerns about unauthorized transactions. To bolster investor confidence, it would be beneficial for LANDE to provide transparent communication regarding any past fraud incidents on the platform. However, currently, there is a lack of disclosed information about previous fraud cases, leaving a gap in understanding LANDE’s approach to handling and preventing such risks.
ESG risk
LANDE’s approach to Environmental, Social, and Governance (ESG) criteria remains an area requiring greater clarity. Presently, the platform provides minimal information on its ESG policies and practices, leaving potential investors with limited insight into how these important factors are integrated into LANDE’s investment strategies or operational ethos. As ESG considerations become increasingly vital in the investment landscape, detailed disclosure of these practices could significantly enhance investor confidence and showcase LANDE’s commitment to sustainable and socially responsible investing.
