Risk disclosures

Please take sufficient time to read these risk warnings.

 

General Risk Warning

• Investing in startups and small to medium-sized enterprises involves risks, including illiquidity, lack of dividends, loss of investment, and dilution. Such investments should only be made as part of a diversified portfolio.
• The platform, conda-capital.com, is exclusively aimed at investors who are knowledgeable enough to understand the risks and have experience in investment decisions. Therefore, you can only invest through us if you are registered as sufficiently knowledgeable.
• CONDA Capital GmbH is authorized and regulated by the Austrian Financial Market Authority (FMA). If you want to learn more about what our regulatory authority says, visit the FMA website here: European Crowdfunding Service Providers under ECSPR - FMA Austria.
• Investment offers are not public offers, and investments can only be made by registered members of conda-capital.com based on the information provided by the respective companies in the terms of issuance and pitches. If this page contains information about historical results, investors should be aware that the past is not a reliable indicator of future results.
• Limitations of liability can be found in the General Terms and Conditions of CONDA Capital GmbH.

 

What are the key risks?

1) You could lose all the invested money

• Investments in shares of startup companies or bonds issued by them are highly risky. Investors often lose 100% of the money they invested because most startup companies fail.
• Reviews of the companies you invest in may not have been conducted by us. You should conduct your own research before investing.

2) You may not get your money back quickly

• Even if the company you invest in is successful, it may take several years to get your money back. In other words, your money is tied up for that period.
• The most likely way to get your money back is if the company is acquired by another company or its shares are listed on a stock exchange. Such events are not common.
• Startup companies rarely pay you money through dividends. You should not expect to get your money back in this way.
• CONDA may work with companies to give you the opportunity to sell your investment early through a secondary sale, but there is no guarantee that you will find a buyer at the desired price, as there is no marketplace for such investments.

3) Don't put all your eggs in one basket

• In general, it is crucial not to put all your money into a single company or type of investment. It applies to everyone that money should be diversified across different asset classes. Otherwise, you become dependent on a single investment. A good benchmark is to invest a maximum of 10% of your available funds in highly risky investments.

4) The value of your investment can decrease

• When acquiring shares in a company, there is a risk that your stake may decrease if the company issues additional shares. This could mean that the value of your investment decreases, depending on how fast the company grows. Most startup companies plan additional investment rounds.
• New shares could have additional rights that your shares do not have.

5) You are likely not protected if something goes wrong

• Your investments are not covered by the deposit guarantee systems established under Directive 2014/49/EU of the European Parliament and of the Council. Your investment also does not fall under the investor compensation systems according to Directive 97/9/EC of the European Parliament and of the Council.