Crowdlending lets individuals lend money directly to project owners through a licensed online platform. Here is what you need to know about how it works, project types, returns and risks.
Crowdlending (or peer-to-peer lending / loan-based crowdfunding) is a form of investment in which individuals lend money directly to businesses or project owners through a licensed online platform. In return, they receive interest over the life of the loan, then recover their capital at maturity.
Crowdlending differs from equity crowdfunding: in crowdlending you are a creditor, not a shareholder. Your return is fixed and contractual, independent of the project's business performance.
Three main categories dominate the European crowdlending market in 2026.
Financing of residential or commercial real estate developments and property dealers. Typical duration is 12 to 30 months, with bullet repayment (in fine). Common guarantees include first-rank mortgages and trust deeds. This is the largest segment in Europe, representing more than 60% of amounts raised.
Financing of solar, wind, biogas or energy-efficiency projects. The underlying assets often include long-term power purchase agreements (PPAs) or government feed-in tariffs, which secure cash flows. Durations range from 3 to 7 years. Specialist platforms: Enerfip, Lendosphere, Lumo, Lend (FR); Ecobra, Windfall (EU).
Loans to small and medium businesses to finance growth, working capital or acquisitions. Generally higher risk than real estate because real security is less systematic. Short to medium durations (6 to 60 months). Pay close attention to the borrower's balance sheet and the existence of personal guarantees.
Gross advertised returns vary by asset class and deal risk. The ranges below are observed across European markets in 2025–2026:
These returns are gross, before taxation (rates vary by country) and before accounting for potential losses on defaulting projects. Your actual net return depends heavily on the quality of your selection and diversification.
Crowdlending is a risk investment. ECSP market data shows that around 20–30% of projects experience delays of more than 6 months, and 3–6% result in a permanent loss for lenders.
Since November 2023, all crowdfunding platforms operating in Europe are subject to the EU ECSP Regulation (European Crowdfunding Service Providers, Regulation 2020/1503). Each platform must obtain a licence from its national competent authority: the AMF in France, BaFin in Germany, the FCA in the UK.
Before investing, always verify that the platform is registered on ESMA's crowdfunding register or your national authority's equivalent. The absence of a licence is a major red flag.
Analysing a crowdlending project requires examining several dimensions at once. CrowdPickr formalises this analysis into a /100 score structured across 12 criteria:
CrowdPickr aggregates projects open for investment across the main European platforms and automatically applies this grid to every file. You get a /100 score, a breakdown of strengths and risks, and a verdict.
See open projects →This guide is provided for informational purposes only. It does not constitute personalised investment advice. Market data cited are from public sources (ESMA, national regulators) and may change. Any crowdlending investment carries a risk of partial or total loss of capital.