MoneyTurtle hatches to formalise friends and family fundraising for SMEs

By Oliver Smith on Thursday 21 January 2021

Alternative Lending

An app to help business founders borrow and repay money without the awkwardness.

MoneyTurtle hatches to formalise friends and family fundraising for SMEs
Image source: Sascha Ragtschaa/WeOwn.

It’s never easy to borrow money from friends or family, but that is the uncomfortable reality for millions of small businesses worldwide every year which get started by bootstrapping their early funding.

MoneyTurtle is a new service aiming to formalise that process, streamlining the fundraising request, repayments and contracts through a mobile app and digital platform.

Interestingly MoneyTurtle is a side-business of WeOwn, an SME financing platform. WeOwn operates both a peer-to-peer lending service and a software-as-a-service platform for businesses to build capital-raising systems.

MoneyTurtle is aimed at the smaller end of WeOwn’s customers, those sole traders and smaller enterprises who most desperately need support in their fundraising.

Sascha Ragtschaa, WeOwn’s CEO and co-founder, described MoneyTurtle’s pitch as: “adding professionalism to a process that’s a little bit sensitive.” 

“In effect, MoneyTurtle adds a layer of control to a fundraising initiative that is usually done on a piece of paper or just a handshake. In a time where businesses need more support than ever, MoneyTurtle can be exactly the tool people need.”

Once an SME has secured investment, MoneyTurtle creates both a smart contract and physical contract between the fundraiser and their supporters to avoid disputes.

For processing the payments, repayments and creating the contract MoneyTurtle charges a flat fee of 2.5 per cent of the funds raised.

Sign up for our newsletters

Your daily 7am download of all things alternative finance and fintech.

Fintech and alternative finance headlines with an exclusive Editor's Note each week. Delivered Monday at midday.

AltFi's new weekly US newsletter breaking down the ins and outs of America's burgeoning fintech sector. Delivered Monday 9am EST/ 6am PST.

More like this:

The AltFi Awards 2022: Here are the winners!

Editor's Pick

2 December 2022
Oliver Smith

Treecard raises $23m Series A round

1 December 2022
Daniel Lanyon

MarketFinance rebrands as Kriya

30 November 2022
Daniel Lanyon

Allica Bank raises £100m Series C

5 December 2022
Daniel Lanyon