Groundfloor, an Atlanta, GA-based direct real estate investment platform open to all investors and real estate entrepreneurs, raised an additional $4.2m in an online public offering.
This additional financing brings its total for the 2017-18 campaign to $6.2m from 2,304 investors and the total fundraising to $13.8M.
Founded in 2013 by Brian Dally and Nick Bhargava, Groundfloor is a company qualified by the U.S. Securities & Exchange Commission to offer direct real estate debt investments via Regulation A for non-accredited and accredited investors alike. For real estate entrepreneurs, the company currently serves the residential fix-and-flip market, offering borrower friendly loan terms like a deferred payment option to give developers more control over their cash flow.
There are more than 50,000 registered users. To date, investors have funded more than $75m in Groundfloor’s real estate projects with the company self-originating over 550 loans. While any resident of the United States can invest via the platform, it is focusing its lending operations in 24 states.
Groundfloor, which now has 45 employees, reported GAAP revenue of $1,997,000, for the twelve months ending June 30, 2018.