Kuetzal is a crowdlending platform for business and real-estate projects. Loans commonly yield interest rates higher than 15%, for duration of one year and more. Most of them are secured by a buyback guarantee.
My opinion on Kuetzal
Kuetzal’s pros & cons
- Excellent performance
- Funded businesses belong to various industries, allowing for a diversified loans portfolio
- Kuetzal Care guarantee ensures that these projects will get funded
- Not all projects are covered by the buyback guarantee
- Minimal investment amount is €100 per project
By investing more than €1000 at Kuetzal, you will get some cashback. The cashback level depends on the invested amount; it starts at 1% for € 1,000 investments, and may be as high as 3% for investments larger than € 50,000. This offer is valid until August 31st, 2019.
Overview of Kuetzal’s loans
All loans are in Euro, with durations between 12 months and 48 months. Most of them have fixed interest rates, usually ranging from 14% to 21%. There used to be one loan offering variable returns, but the mechanism was unclear and it seems to have been converted to a fixed interest rate instead.
While the website provides an indication of the amount already financed, the deadline for the projects doesn’t appear anywhere.
Current loans mostly finance Latvian companies, although one of them is for a UK firm. The projects financed belong to various sectors :
- online payment solutions
- trailer and truck reseller
One interesting aspect is that projects covered by the Kuetzal Care feature (currently all of them) are guaranteed to be funded. Another advantage is that interests are computed from the day the investment is made; there’s no need to wait for complete funding. All projects yield interests monthly.
Minimal investment amount per project is €100, identical to the amount for many competitors. However, the invested amount doesn’t have to be a multiple of €100, which is nice when it comes to re-investing interests.
The amount financed varies greatly from one project to another, but most are at least € 100,000. As of August 2019, the total value of the available and past projects is more than nine million euros !
There are usually two or three new project each month. If the largest ones may require several weeks to get totally funded, the € 40,000 requested in August to renovate a restaurant were funded in less than one day !
Kuetzal‘s website initially provided few details on this essential aspect. Fortunately, since the last update, a matching item has been added to the FAQ.
The buyback guarantee is available on most projects. It provides two main benefits :
- opportunity to sell your investment back to the platform (see Early exit below).
- guarantee to get your money back, at most 2 months after a default
Kuetzal doesn’t offer a secondary market. However, as mentioned above, investments that come with a buyback guarantee can be withdrawn from, although there’s a steep 10% associated fee.
There used to be a small bit of confusion regarding the name of this feature (it was called Investment Return in the FAQ), but now the same term is used everywhere.
Overall, investing manually at Kuetzal is straightforward. The descriptions for the projects are detailed and easy to read.
New projects are announced by e-mail, and sometimes on Kuetzal‘s Facebook page.
Currently, only manual investing is possible. I’m not fond of auto-invest for business projects anyway; moreover, the small number of available projects makes it easy to invest manually.
Website’s ease of use
Kuetzal’s registration process
Registering with Kuetzal is very quick and easy. There’s no KYC (Know Your Customer) procedure for now, so investors don’t even need to upload a copy of their id.
Account funding and funds withdrawal
The only way to fund your account is through a SEPA transfer. Although the initial screen showing Kuetzal‘s bank account was a bit confusing, it’s been redesigned and using it is straightforward.
There was a slight delay in processing my first deposit, but it was probably due to Christmas holidays; indeed, subsequent transfers were available in two business days.
Website’s design and ergonomics
Available languages & translations quality
In addition to the English translation, Kuetzal‘s website is also available in German and Spanish. Apart from a few initial typos which got corrected, the English translation is great.
The reporting is very limited; there’s only a list of investments, as well as a useful repayment schedule.
Kuetzal’s FAQ is rather complete and has been much improved since its inception. Apart from it, there’s little documentation available.
It’s possible to contact the platform via e-mail or by phone.
Communication from the platform
Kuetzal notifies investors by e-mail when new projects are available for funding.
Notifications are also sent when transferred funds reach the investor’s account, as well as when reimbursements are received. These two mails could be greatly improved; indeed, the title is a very generic “Kuetzal Account”, while the contents doesn’t give any detail regarding which loan was reimbursed. In addition, the reimbursed sum isn’t broken down between principal and interests.
Actual performance of my Kuetzal portfolio
At the end of October 2019, the XIRR for my Kuetzal portfolio was 16,76%.
This result is nothing short of excellent, and I will keep on increasing the size of my Kuetzal portfolio when new loans are available !
Don't hesitate to read my most recent crowdlending portfolio review for detailed platforms performance comparison as well as historical performance.
Kuetzal's main competitors
For a detailed comparison of the different real-estate and business crowdlending platforms, check out this article.
Kuetzal's facts & figures
As of August 2019
Who can invest at Kuetzal
There are no geographical and nationality restrictions to become an investor at Kuetzal. As a general practice, we do not accept investors as well as projects related to, or coming from blacklist countries.
Please note that this review may contain affiliate links. It means that I will earn a commission if you decide to invest after clicking through the link – at no additional cost to you, of course -. Please understand that I have experienced all of these companies, and I recommend them because they are helpful and useful, not because of the commissions I make if you decide to invest through my links.