Is this the beginning of the end for Estateguru?

Crowdanalyst · Anmeldedatum: 06.09.2023 Beiträge: 1

1. The proportion of problem loans in Germany is over 95%, in Finland over 50% (today over 52%), in Lithuania over 40% (today over 45%) and in Latvia over 32% (today close to 40%);
2. Estateguru's business plan favors ignoring investors' interests and profit growth at the expense of investors;
3. Are loan agreements valid?
4. Do investors actually have valid guarantees or mortgages for their loans?

Is this the beginning of the end for Estateguru*, where the company's professional analyst team can only blame borrowers for problems and the debt management team is powerless to recover collateral?

In August 2023, two articles about Estateguru's problems were published in the leading business newspaper in the Baltics.

Article No. 1 "Clouds of worry are gathering over the investments of Estateguru* investors" https://www.aripaev.ee/borsiuudised/2023/08/21/estateguru-investorite-investmentite-kohale-kuhjuvad-murepilved

Article #2 “Is this the beginning of the end for Estateguru?” https://www.aripaev.ee/arvamused/2023/08/28/erki-katkosild-kas-see-ongi-estateguru-lopu-algus-ehk-millele-ma-soovisin-tahelepanu-juhtida

Estateguru's professional team of analysts is not capable of performing high-quality analysis.

Source: https://estateguru.co/blog/loan-portfolio-overview-july-2023/ ENG
https://estateguru.co/blog/de/ueberblick-ueber-das-kreditportfolio-juli-2023/ GER

If you look at Estateguru's entire portfolio, by doing a quick calculation, more than half of it (50.2%), or every second loan issued, has gone sour. In total, over 142 MEUR (today over 148MEUR) worth of assets are at risk.
Although the proportion of problem loans shot to the sky already in February 2023, the company's management is still analyzing where they had errors.

https://estateguru.co/blog/estateguru-half-year-results-5000-new-investors-e44-million-funded/

It is agreed that something went seriously wrong in the German market, where 95% of the projects are problematic, but the same cannot be said about Finland, where over 50% (today over 52%) of the loans issued are problematic, and in Lithuania over 40% (today over 45%) and in Latvia over 32% (today close to 40%) of the loans are problematic!

https://app.estateguru.co/statistics/?lang=de click on the Ausstehendes Portfolio and you can see the result by country from there.

If any European bank had such loan portfolio numbers, the management would have been let go a long time ago and the bank would most likely be bankrupt or on the verge of bankruptcy. It would be significantly cheaper for them to hire a monkey to flip a coin to see if the project gets a loan or not. It might have produced a better result than 50/50.

A thorough analysis is also hindered by the company's business plan, where money is earned by issuing loans and dealing with debts. This means that if projects go sour, Estateguru* makes money from it instead. This has been confirmed by the company manager himself in the article of 21.08.2022, saying that "After a successful change in strategy, Estateguru* has been profitable in its core business this year." I guess this new strategy means that it is important for Estateguru* OÜ to issue loans, even during a crisis . After all, the cash flow must be maintained, because otherwise they will no longer be able to pay their employees and deal with problematic loans. However, such a focus means that the loans may not be of good quality and may actually be harmful to investors, which is also proven by statistics. I would like to remind you that Estateguru* OÜ is not a bank that can’t issue loans for 12 months and simply earn interest income.

The fact that it is a start-up company with a share capital of 2,600 euros should also cause concern. At the same time, Estateguru* has made a total loss of 5.3MEUR in the last two years, out of which 3.9MEUR has been in the last year.

https://www.teatmik.ee/en/personlegal/12558919-Estateguru-O%C3%9C

At the beginning of 2023, the company brought in new capital, which will help them stay afloat. Until now, Estateguru* OÜ has been financed by the parent company Estateguru* Holding OÜ, but now it seems that the money may run out at any moment, and in this case Estateguru* OÜ will face bankruptcy, because if the business model is unprofitable, there is nothing to renovate.

https://www.teatmik.ee/en/personlegal/12621285-Estateguru-Holding-O%C3%9C

Estateguru's debt management is very slow and are the loan agreements even valid?

Let's take another look at Estateguru's current portfolio. At the moment, they have 130MEUR worth of default loans. Their CEO points out, in the article of 22.08.2023, that 3.6 MEUR was brought back in June, and this year a total of 7 MEUR, or 8%. At this rate, it would take 6 years to solve the already existing problems. That seems like a pretty grim prospect.

Many have certainly not taken into account the risk that will happen if Estateguru* OÜ goes bankrupt or if the current owners decide to sell it instead. In the latter case, a situation may arise where the new owners decide not to continue with the unprofitable loan business. In this case, how do investors get their money and interest from there?

An even bigger problem is that all the mortgages related to the loans are in the name of Estateguru* Tagatisagent OÜ. This means that the borrower does not know the names of his investors. Therefore, if a situation arises where the borrower and the investor should start dealing with each other, the praties would not even know who to invite to the notary!

From here on, the question arises whether the contracts that are currently concluded through Estateguru* are legally valid at all. The Estonian law requires that the parties must at least know each other's names for the contract to be valid. It is not enough that you only know the name of the representative or Estateguru* OÜ. If it is assumed that the contracts are not valid, then there can be no guarantees, i.e. in this case all loans are in reality without guarantees. This is exactly how my lawyer has explained it to me, that the loan agreements are void. Is there anything to demand from anyone?

If the loan agreements are null and void, they cannot be secured by any mortgages, or in reality the investors may not have any guarantees. If the matter were to go to court and from there on, it may also happen that damage claims will be filed against the investors, because Estateguru* OÜ is, according to itself, only an intermediary and they have completely excluded any damage claims against themselves with their general terms and conditions. These are dangers that many investors have probably not considered in this case.

Therefore, investing through Estateguru* OÜ hides many more risks than it seems at first glance and they say.

In addition, there are articles in the leading Baltic business newspaper
https://www.aripaev.ee/saated/2023/08/22/ajakirjanik-raskustest-uhisrahastuses-algul-olid-koigil-napud-pusti
https://www.aripaev.ee/investor-toomas/2023/08/14/viis-aastat-uhisrahastust-pankrotid-kisuvad-hea-tootluse-sugavale-sohu
https://www.aripaev.ee/investor-toomas/2023/05/03/taarun-hapuks-lainud-laenude-koorma-all-kaotused-kaks-korda-suuremad-kui-tulud
https://www.aripaev.ee/borsiuudised/2022/12/07/estateguru-norritab-investorit-volas-laenude-rahastaminega
Does anyone have any other problems or exciting examples of Estateguru* lending, terms and conditions when purchasing projects, etc.?

wasserkocher · Anmeldedatum: 11.07.2019 Beiträge: 99

Claus Lehmann · Site Admin Anmeldedatum: 31.08.2007 Beiträge: 18185

Hi Crowdanalyst,

what exactly is your motivation? I saw that you posted that on multiple international forums?

Did you incurr major losses with your portfolio at Estateguru* or what?
_________________
Meine Investments (aktualisiert 12/24):
Laufend: Bondora*, Estateguru*, Indemo*, Inrento*, Mintos*, Crowdestate* (Rest), October* (Rest), Linked Finance* (Rest), Plenti (Rest), Ventus Energy*, Seedrs*, Crowdcube, Housers* (Rest),
Beendet: Smava, Auxmoney, MyC4, Zidisha, Crosslend, Lendico, Omarahee, Lendy, Ablrate, Bondmason, Finbee*, Assetz Capital, Bulkestate, Fellow Finance, Investly*, Iuvo*, Landex, Lendermarket*, Lenndy, Moneything,
Neofinance*, Reinvest24, Robocash*, Viainvest*, Viventor, Zlty Melon

Daniil · Mitarbeiter von Estateguru Anmeldedatum: 09.09.2023 Beiträge: 1

The author of this topic (Crowdanalyst) owes more than €8 million to Estateguru* investors through various projects and is trying in every way possible to prevent the realisation of collateral in favour of investors. It is therefore a biased and hostile author. This post, too, is full of falsehoods and misrepresentations, the sole purpose of which is to damage Estateguru's reputation and influence the actions of the Court.

Poweramd · Anmeldedatum: 24.10.2019 Beiträge: 927

Liest sich wie eine short-Attacke....

Azrael666 · Anmeldedatum: 17.09.2013 Beiträge: 47

Könnte auch ein Troll sein. Neuer User und der erste Beitrag gleich mal ne komplette "Analyse" auf englisch in einem deutschen Forum?!

Schon bischen auffällig.

wasserkocher · Anmeldedatum: 11.07.2019 Beiträge: 99

Claus Lehmann · Site Admin Anmeldedatum: 31.08.2007 Beiträge: 18185

Laut Anmeldedaten ist Daniil ein Mitarbeiter von Estateguru.
_________________
Meine Investments (aktualisiert 12/24):
Laufend: Bondora*, Estateguru*, Indemo*, Inrento*, Mintos*, Crowdestate* (Rest), October* (Rest), Linked Finance* (Rest), Plenti (Rest), Ventus Energy*, Seedrs*, Crowdcube, Housers* (Rest),
Beendet: Smava, Auxmoney, MyC4, Zidisha, Crosslend, Lendico, Omarahee, Lendy, Ablrate, Bondmason, Finbee*, Assetz Capital, Bulkestate, Fellow Finance, Investly*, Iuvo*, Landex, Lendermarket*, Lenndy, Moneything,
Neofinance*, Reinvest24, Robocash*, Viainvest*, Viventor, Zlty Melon

Poweramd · Anmeldedatum: 24.10.2019 Beiträge: 927

Claus Lehmann · Site Admin Anmeldedatum: 31.08.2007 Beiträge: 18185

Firmenemailadresse. Jeder (auch Du) verifiziert bei Anmeldung den Account via Emailadresse. Bei einer gmail Adresse kann man natürlich nichts damit belegen.
Bei einer Emailadresse die auf die Firma lautet (in diesem Fall ...@estateguru.co) ist schon mit relativer Sicherheit davon auszugehen, dass derjenige dort arbeitet, wenn er über den Firmenserver Emails empfangen kann.
_________________
Meine Investments (aktualisiert 12/24):
Laufend: Bondora*, Estateguru*, Indemo*, Inrento*, Mintos*, Crowdestate* (Rest), October* (Rest), Linked Finance* (Rest), Plenti (Rest), Ventus Energy*, Seedrs*, Crowdcube, Housers* (Rest),
Beendet: Smava, Auxmoney, MyC4, Zidisha, Crosslend, Lendico, Omarahee, Lendy, Ablrate, Bondmason, Finbee*, Assetz Capital, Bulkestate, Fellow Finance, Investly*, Iuvo*, Landex, Lendermarket*, Lenndy, Moneything,
Neofinance*, Reinvest24, Robocash*, Viainvest*, Viventor, Zlty Melon