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In addition, we have put together a glossary for you to learn the meaning of financial terms used on our platform. Please do not hesitate to contact us directly in case you have additional questions or feel we should add content to the FAQs and/or glossary.
FAQs are listed according to the following topics:
aescuvest GmbH is a fintech and a marketing service provider for start-up and growth companies in the health sector. Founded in Frankfurt in 2014, it operates the first vertical crowdfunding platform for companies from the health sector in Germany – aescuvest.de – and for cross-border investing in Europe – aescuvest.eu
aescuvest is not a bank. aescuvest has a public licence as a facilitator of loan contracts and financial investment products. It is also able to broker securities under the liability umbrella of BN & Partners Capital AG.
aescuvest was founded by Dr. Patrick Pfeffer, a bioinformatics scientist with a working background in digital marketing for pharmaceutical companies and digital health media, together with a team of friends and long-term business associates that combine over 100 years of experience in the health and financial sector. Please review About aescuvest for detailed information about the team members.
aescuvest is based in Frankfurt/Germany.
We support five core sectors
Since 2015, 8 crowdfunding campaigns have started on the platform, of which 6 have been successfully financed, raising a total of €1.1 million.
aescuvest is a pioneer with its vertical approach for the health sector and as the first equity crowdfunding platform that offers real cross-border equity crowdfunding, which not only allows to officially invest from all countries, but also to be able to actively promote campaigns across Europe under the EU passporting regulation for investment products.
The Investment Advisory Board of aescuvest marks another important differentiation to other platforms. With aescuvest, independent experts from different areas of the health sector ensure excellence of the companies presented on the platform. The assessment by the Investment Advisory Board is the linchpin for project approval. The board’s decisions are always preceded by an analysis whereby the pros and cons are carefully weighed. Negative decisions are always binding.
We support five core sectors
The platform is open to all innovative companies that match the criteria for a successful crowdfunding campaign. Please review the Submission section on our website for further details about the application process.
All phases from seed to growth. Platform focus is on scale – start-ups that have developed their idea and are beginning to market it. Companies can scale up the size of their business and scale out to new markets. A crowdfunding campaign can get entrepreneurs beyond the start-up phase and help small enterprises to become big ones.
There are three hurdles an applicant has to face:
No, there is no geographic limit. However, a strong base of “local” supporters is of advantage for a successful crowdfunding campaign. Accordingly, the platform currently has a special focus on companies from Belgium, Denmark, Germany, the Netherlands, Sweden and the UK.
A company can raise up to €1 million without issuing a prospectus, or by providing an issuing prospectus from €1 million to an infinite amount.
Companies that have raised funding on aescuvest have to provide quarterly updates on the business development and have to inform investors in due time about significant events.
For each start-up financing project, a separate, standardised special purpose vehicle (“Issuing SPV”) is formed; it is the issuer of the financial instrument in the legal sense, bearing the primary risk of prospectus liability. The SPV raises the crowd’s funds and, thus, refinances the acquisition of an equity shareholding in the start-up. A neutral trustee, independent of platform operator and start-up, holds all of the SPV’s shares. The Trustee also assumes the role of the SPV’s management and undertakes to exercise the SPV’s voting rights in the start-up in accordance with a standardised trust agreement for the benefit of the crowd investors.
A neutral trustee holds the shares in the SPV, who also assumes the role of the SPV’s management. Under a standardised trusteeship agreement concluded between the platform and the trustee, also for the benefit of the crowd investors, the trustee undertakes, in particular, to exercise – in the best interests of crowd investors – the voting rights the SPV acquires in the start-up. To minimise the trustee’s discretionary powers (and, thus, his or her potential liability arising from this contractual relationship), the trusteeship agreement includes rules and instructions for typical situations, e.g. with regard to subsequent investments and exit. In addition, a voting mechanism is implemented for the crowd investors (“crowd vote” / “crowd veto”) to allow them to make fundamental decisions regarding the shareholding. This voting mechanism is binding on all crowd investors in accordance with the terms and conditions of the participation certificate.
This investor pooling at the level of the individual project, combined with VC market standard rules for follow-up financing and exit, ensures that follow-up financing rounds for the start-up are not restricted by receiving crowd capital.
Any natural person of full legal capacity and corporations may invest via aescuvest. In order to invest, you first have to register on the platform.
Investors potentially are all EU citizens, Business Angels and VCs.
The minimum investment is €1,000. There is no limit for investments, as all on aescuvest intermediated instruments are MiFID-qualified financial instruments.
First, we need to know your bank account in order to be able to pay back your investment if a funding campaign fails, or to forward dividend payments to you.
Second, for money laundering provisions, we are obliged to accept investments only transferred from known bank accounts.
Investing via aescuvest is free of charge.
After agreeing to an investment on aescuvest, you have to transfer the outstanding balance within three banking days into an escrow account. Your investment will only be transferred to the company if the funding threshold is reached.
A withdrawal from your investment is possible within 14 days according to statutory regulations.
Yes, gains, losses, dividends from investments are subject to taxation according to the laws of the country the investor resides in. Investors should consult with their tax advisor. aescuvest will provide a tax certificate with every payment.
Yes, it is possible to sell, transfer or leave your investment. However, it does not exist a public market for the trade in investment certificates.
On aescuvest, investors hold an interest in a special purpose vehicle (SPV), which in itself will become a shareholder of the fundraising company. Like a typical venture capitalist or business angel, investors on aescuvest expect an increase in the value of the company they invest in. The capital gain will be realised at the time of the exit, which could be simply by selling the shares, or at an exit event, e.g. when the company is sold or goes public. The investment horizon is usually 5 – 7 years. As the company becomes more valuable, so do the shares. Dividend payments are possible, but will rather be the exception than the rule.
Investors should consider the risk that the business fails. Failure is not uncommon, especially among start-up and early-stage businesses. In that case, the return could be less than the amount invested or even nothing at all.
EIT Health e.V. (a registered association) is a Knowledge and Innovation Community (KIC) established by the European Institute for Innovation & Technology (EIT), an independent EU body set up in 2008 to promote innovation and entrepreneurship across Europe. EIT Health is a consortium of more than 50 core partners and 90 associate partners from leading businesses, research centres and universities from across 14 EU countries. EIT Health was designated as an EIT Knowledge and Innovation Community (KIC) by the EIT Governing Board on 09 December 2014.
The regional structure of EIT Health extends across Europe. With the headquarters in Munich (Germany), EIT Health has established ‘six co-location centres’ in London (UK/Ireland), Stockholm (Scandinavia), Barcelona (Spain), Paris (France), Mannheim and Heidelberg (Germany/Switzerland) and Rotterdam (Belgium/Netherlands). All ‘six co-location centres’ are defined by the EU Innovation Scorecard as high innovation performers.
With the twin goals of leveraging diversity and driving the potential of emerging innovation clusters, EIT Health has added the “EIT Health InnoStars” to its network. These regional clusters consist of industry partners, academia, and health providers linked to seven regions in six countries – Croatia, Hungary, Poland, Portugal, Italy, and Wales. Each region represents research specialties and socio-economic structures that ideally complement the EIT Health co-locations centres while ensuring wider participation and outreach across Europe’s multifaceted innovation landscape.
EIT Health aims to, inter alia others:
No, the EIT Health programs bring together the three sides of the knowledge triangle – education, research and innovative business creation. To reach our goals, we connect the expertise of our partners in each of these domains through three programs: