Investment risks

Investing in small private businesses can be rewarding, and it is risky. Read this before you express interest in any opportunity.

• You can lose all the money you invest. Many small businesses fail or do not repay.
• Your money is tied up. Private shares and loans usually cannot be sold quickly, and there may be no buyer at all.
• Returns are uncertain. Revenue-based repayments fall when sales fall. Dividends are rare.
• Your stake can shrink. If a business raises more money later, your percentage may fall.
• Information is limited. Our reviews reduce risk but cannot remove it, and figures may be unaudited.
• Spread your risk. Only invest money you can afford to lose, and spread it across several businesses.

BomaFund does not give investment advice. Consider speaking to a licensed adviser before investing.