Fellow Funders is a crowdfunding platform authorised by the Spanish National Securities Market Commission (CNMV) under EU Regulation 2020/1503. This means it complies with the same regulatory requirements as any European Crowdfunding Service Provider (ECSP) authorised to operate within the European Union.

However, "regulated" does not mean "100% risk-free"—no investment is. This article explains what the regulation protects you against, what it does not, and how to determine whether Fellow Funders is suitable for your investment profile.

Key Takeaways

• Fellow Funders operates under an ECSP licence granted by the CNMV (Registration No. 2, authorised on 10 November 2022) in accordance with EU Regulation 2020/1503. It was the second platform authorised in Spain under the new European Crowdfunding Regulation.
• The platform applies a rigorous project selection process: only 4% of the projects reviewed are ultimately published after achieving a minimum score of 65 out of 100.
• Investors' funds are held in segregated accounts managed by Lemonway, a European payment institution regulated by the ACPR (France's banking and financial supervisory authority, equivalent to the Bank of Spain), and are fully separated from Fellow Funders' operational accounts.
• Regulation does not eliminate investment risk. Illiquidity, project failure and delays beyond the expected investment period remain genuine risks that investors must assume.
• Operating since 2016, Fellow Funders has channelled approximately €60 million into investment opportunities, is part of the Orbyn Group, and charges 0% fees to investors.

What Does "Safe" Mean When It Comes to Investing?

The question "Is Fellow Funders safe?" can be interpreted in two different ways.

The first is: Does the platform comply with regulations, safeguard investors' funds and operate transparently? The short answer is yes.

The second is: Will I recover my investment and earn a return? That depends on the individual project you invest in—not on the platform itself.

Confusing these two questions is one of the most common mistakes made by first-time investors.

CNMV regulation protects investors against operational risk—for example, if the platform were to fail, mismanage client funds or fail to disclose required information. It does not protect investors against investment risk—such as a real estate or agribusiness project underperforming, experiencing delays or failing altogether.

Any platform suggesting otherwise is misleading investors.

Fellow Funders' Operational Safety Measures

Fellow Funders was among the first Spanish platforms to obtain an European Crowdfunding Service Provider (ECSP) licence under EU Regulation 2020/1503, which has harmonised crowdfunding regulation across the European Union since November 2021.

The platform applies several specific safeguards.

1. CNMV ECSP Licence

Fellow Funders PSFP, S.A. (Tax ID: A87675716) is registered as No. 2 in the CNMV's official register of European Crowdfunding Service Providers, having been authorised on 10 November 2022 under EU Regulation 2020/1503.

As one of Spain's first ECSP-licensed platforms, Fellow Funders must comply with a number of regulatory obligations, including:

• Maintaining minimum own funds in accordance with European regulations.
• Applying Know Your Customer (KYC) and Anti-Money Laundering (AML) procedures.
• Having its financial statements audited annually by an independent external auditor.
• Publishing a Key Investment Information Sheet (KIIS) for every investment opportunity, clearly outlining project-specific risks.
• Conducting appropriateness assessments and loss simulation tests for non-sophisticated investors.

2. Segregated Investor Funds Held by Lemonway

Investor funds are never mixed with Fellow Funders' operating accounts.

Instead, all funds are held in segregated accounts managed by Lemonway, a European payment institution authorised by the Autorité de Contrôle Prudentiel et de Résolution (ACPR), France's financial supervisory authority. Lemonway operates in Spain under the European passporting regime and is one of the leading payment providers serving the crowdfunding industry across Europe.

This means that, should Fellow Funders experience financial or corporate difficulties, investors benefit from two important safeguards:

• Their funds remain outside the platform's balance sheet.
• The funds are administered by an independent, regulated European payment institution.

3. A Highly Selective Project Screening Process

Before any investment opportunity reaches investors, Fellow Funders conducts an extensive internal due diligence process using its proprietary scoring methodology.

Only projects scoring 65 points or more out of 100 are admitted to the platform.

In practice, only around 4% of all projects reviewed successfully pass this selection process, making it one of the most stringent admission filters among Spanish crowdfunding platforms.

4. External Audits and Group Governance

The group's annual financial statements are independently audited.

In addition, Fellow Funders is part of the Orbyn Group, an international holding company with operations across several European markets. This provides an additional layer of corporate governance and oversight over the platform's operations.

What Regulation Does Not Protect You Against

This section is often omitted from corporate articles. We include it because investors cannot make informed decisions without understanding the risks.

Regulation does not eliminate investment risk, including:

• Project failure: If the project you invest in fails or does not generate the expected revenues, you may lose part or all of your investment. Regulation does not compensate investors for project losses.
• Illiquidity: Alternative crowdfunding investments generally do not have an active secondary market. Your capital remains invested until the project reaches completion—whether that means the sale of a real estate development or the completion and commercialisation of an agricultural project.
• Project delays: Construction projects frequently experience delays, while agricultural investments depend on weather conditions and market cycles. Target returns should never be interpreted as guaranteed returns.
• Sector-specific risks: Real estate downturns, adverse agricultural cycles, regulatory changes or tax reforms may all affect investment performance, even if the platform performs its role correctly.
• Concentration risk: Allocating all your capital to a single project significantly increases your exposure. Diversifying across multiple projects and asset classes is one of the most effective ways to reduce investment risk.

As evidence that regulation is actively enforced, the CNMV has sanctioned other crowdfunding platforms for regulatory breaches. One of the best-known cases involved Housers, which was fined €215,000 by the regulator.

The lesson is clear: regulation protects the integrity of the platform's operations—not the profitability of each individual investment.

Fellow Funders' Verifiable Track Record

Fellow Funders has been operating since 2016. The following figures are publicly available or can be independently verified:

• Approximately €60 million invested in projects since launch.
• 0% investor fees (the platform charges the fundraising company rather than the investor).
• Specialisation in real estate and agribusiness investments through a single account, with minimum investments starting from €500.
• Historical Internal Rate of Return (IRR) achieved on completed projects:
  • Real Estate: approximately 17.3% annual IRR
  • Agribusiness: 9.55% annual IRR, increasing to 16.77% annual IRR where tax incentives apply.
• Backed by the Orbyn Group, providing additional shareholder strength and long-term stability.

These figures represent historical returns achieved by completed investments, not guaranteed future performance. Every investment opportunity has its own risk profile, expected return and investment horizon.

For detailed information on completed investments, investors should consult Fellow Funders' Track Record and Success Stories pages.

Risk Comparison: Fellow Funders vs. Other Investment Types

Alternative crowdfunding should represent only a small portion of your investment portfolio—not its core.

The right question is not "Is it safe?" but rather:

"What percentage of my portfolio can I allocate to real estate and agribusiness crowdfunding without compromising my liquidity or risk tolerance?"

How to Invest Safely Through Fellow Funders

If you decide to invest through Fellow Funders, the following best practices can help you manage risk effectively:

• Read the full Key Investment Information Sheet (KIIS) for every project before investing. It is mandatory under European regulations and outlines the specific risks associated with each opportunity—not just generic investment risks.
• Diversify your investments. Avoid allocating more than 5–10% of your portfolio to a single project. Ideally, spread your investments across 8–15 opportunities over a period of 12 to 24 months.
• Combine real estate and agribusiness investments. Each asset class follows different market cycles and investment timelines, helping reduce overall portfolio correlation within your alternative investments.
• Match your investment horizon to the project's timeframe. Real estate projects typically mature within 12 to 36 months, while agribusiness investments depend on agricultural production cycles. Never invest money you may need before the expected exit date.
• Take advantage of available tax incentives. Some projects offer tax benefits that can significantly enhance net returns. In agribusiness investments, tax incentives may increase the Internal Rate of Return (IRR) by up to seven percentage points. Always consult your tax adviser regarding your specific circumstances.
• Monitor your investments, but don't panic. Construction delays and agricultural production setbacks are common. A delay does not necessarily indicate a default. Stay informed by reviewing the project sponsor's regular updates.

Frequently Asked Questions About the Safety of Fellow Funders

Is Fellow Funders regulated by the CNMV?

Yes.

Fellow Funders PSFP, S.A. (Tax ID A87675716) is authorised as a European Crowdfunding Service Provider (ECSP) under Registration No. 2 in the CNMV's official register. The licence was granted on 10 November 2022 under EU Regulation 2020/1503, and the authorisation can be verified through the CNMV's public register.

What happens to my money if Fellow Funders goes bankrupt?

Investor funds are held in segregated accounts managed by Lemonway, a European payment institution regulated by France's ACPR, the French supervisory authority equivalent to the Bank of Spain.

These funds are completely separate from Fellow Funders' operating accounts.

If the platform were to experience financial difficulties, investors' cash would remain protected because it is held off the platform's balance sheet by an independent, regulated payment institution.

However, investments already committed to active projects are not protected. Their performance depends entirely on the success of the underlying investment.

What makes Fellow Funders different from platforms that have been sanctioned?

Cases such as the €215,000 fine imposed on Housers demonstrate that the CNMV actively enforces crowdfunding regulations.

Fellow Funders has operated under EU Regulation 2020/1503 since obtaining its ECSP licence, applying a rigorous project selection process and segregated fund custody.

The European Crowdfunding Regulation has significantly strengthened regulatory requirements for all platforms operating within the European Union.

Can I lose all my money investing through Fellow Funders?

Yes—in the worst-case scenario.

Like any investment in real-world projects, there is always a possibility of losing your entire investment if a project fails.

Regulation protects the integrity of the platform's operations, not the financial outcome of individual investments.

This is why diversification and carefully reviewing each project's Key Investment Information Sheet (KIIS) are essential.

What historical returns has Fellow Funders delivered?

Completed projects on Fellow Funders have generated an average historical Internal Rate of Return (IRR) of approximately:

• 17.3% per year for real estate investments.
• 9.55% per year for agribusiness investments.
• 16.77% per year for agribusiness investments where eligible tax incentives apply.

These figures reflect historical performance achieved by completed projects. Future returns will vary depending on each investment opportunity and are not guaranteed.

So, Is It Safe to Invest Through Fellow Funders?

If you're asking an operational question—Is the platform regulated? Does it safeguard investor funds? Does it operate transparently?—the answer is yes.

Fellow Funders is one of the most highly regulated crowdfunding platforms in Spain, combining a stringent project selection process with a verifiable track record dating back to 2016.

If you're asking a financial question—Will I recover my investment and earn a return?—the answer depends entirely on the individual project, not on the platform itself.

That's why we recommend diversifying your investments, carefully reviewing the Key Investment Information Sheet (KIIS) for every opportunity, and never investing money you may need in the short term.

If you'd like to learn more about how European crowdfunding regulation works, read our guide to CNMV supervision and EU Regulation 2020/1503. To explore historical performance in more detail, visit our Track Record page. And if you're ready to start investing with a low minimum commitment while building a diversified portfolio, browse the current investment opportunities available on Fellow Funders.

• By Fellow Funders
• 02/07/2026
• Fellow Funders