How do I earn a profit with Blossom? What is the method of investing with Blossom? What happens to my money when I invest with Blossom? How does Blossom's SmartSukuk work?
We offer halal, ethical investments into micro-businesses that make a positive social impact. When you invest with us, we combine your funds with the funds of other similar investors and utilize the funds across a wide range of various micro-businesses
In short, we connect your investment with lots of halal small businesses. Blossom does not invest in any funds, ETFs, mutual funds, or other sukuk at this time.
So for example, if you invest $100 your investment will be split up across 10 business with $10 invest in each in categories like farming, grocery stores, automative repair, micro-industry, etcetera.Your funds are used to help these businesses purchase items they need for their business (such as fertilizer for a farm, packaged goods for sale at the grocery store, tools for automative repair, etc.) Spreading out your investment this way - called diversification - lowers your risk while maximizing the number of people your investment helps.
The microfinance institutions that Blossom partners with oversee the day to day operations of the portfolio and ensure your investment is productive. Funds are distributed to local small businesses through various halal means such as: mudaraba, murabaha, musharaka, or ijarah which do not utilize compounding interest (usury/ riba). We maintain records of every small business financed in the portfolio along with what type of goods or equipment was financed
Each month these investments generate profits, which you earn and can withdraw or reinvest. The amount of money your investment earns each month varies based on the profit generated by the group of businesses. The funds you invest have a specific term - 3 months, 6 months, 1 year, etc. You can withdraw profits any time, but the original investment is subject to the time period you select when you invest. We target between 10-15% annualized return. Currently, we estimate approximately an 11% return on a USD basis. Historically, returns have exceeded 15% on an Indonesian Rupiah basis.
Blossom uses the ethereum blockchain to issue sukuk ownership certificates and to distribute payments on a pro-rata basis to sukuk holders. This approach removes many manual processes and expensive financial intermediaries.
There are no management or maintenance fees. We take between 20-35% of profits generated by investments (depending on the tenure).
Investments appearing on Blossom's website and applications are offered pursuant to an agreement with Koperasi Jasa Gerbang Digital Nasional, an Indonesia Cooperative (NIB 0214010200273), and/or the respective parties stated in the investment documentation.
Blossom Investments are not guaranteed or insured, and investors may lose some or all of the principal invested. Blossom is not a financial adviser and statements appearing on Blossom's website and communications from Blossom do not constitute financial advice.
Unless otherwise stated, investment principal and profit are on the basis of Indonesian Rupiah (IDR). Investment performance is subject to foreign currency exchange (Fx) risk and Investments with an otherwise positive rate of return may generate negative returns after conversion to other currencies. Blossom does not provide risk mitigants against currency exchange losses and all gains/losses on foreign exchange are born by the Investor.
Historical Returns are not intended as a promise of future results. Blossom Investments are not insured or guaranteed and investors may have negative returns. Actual results may differ materially from projected and/or historical returns. Individual portfolio results may be impacted by, among other things, the size and diversity of the portfolio, the exposure to any single Note, Beneficiary or group of Notes or Beneficiaries, as well as macroeconomic conditions. Prior to making an investment decision, prospective investors should carefully consider all terms and risk factors stated in the offering documents and information appearing in/on Blossom’s website and apps.
US Residents must qualify as accredited investor under Regulation D of the Securities Act of 1933.