Crowdfunding intermediary (IFP)
A crowdfunding intermediary (IFP) is a legal entity licensed by the French Prudential Supervision and Resolution Authority (ACPR) to operate a peer-to-peer lending platform facilitating loans between individuals or between individuals and businesses. Distinct from the crowdfunding service provider (PSFP) for equity crowdfunding, the IFP operates within the strict framework of the September 2014 decree and the provisions of the French Monetary and Financial Code.
Key points
- The IFP is licensed by the ACPR and registered as a payment-service agent; it may not take deposits.
- Loans through an IFP platform are capped (thresholds set by decree, subject to change) per project and per lender.
- The European ECSP Regulation of 2020 created the PSFP status, which is progressively replacing the IFP status for business crowdfunding.
- The IFP must provide lenders with clear pre-contractual information on risks, including the risk of capital loss.
- In real estate, an IFP platform may finance property dealers or developers through bond or participatory loans.
Frequently asked questions
What is the difference between an IFP and a PSFP?
The IFP is the historical French status for peer-to-peer lending platforms, regulated by the 2014 decree and the ACPR. The PSFP (crowdfunding service provider) is the harmonized European status under the 2020 ECSP Regulation, authorized by the AMF, covering both lending and equity investment with higher thresholds and a European passport. Existing platforms had to migrate or choose their status.
How can a property dealer use an IFP platform to finance a project?
The property dealer submits their project to the platform, which assesses the risk and sets a rate of return for lenders. If accepted, individual investors lend funds that complement or replace traditional bank financing. This is useful for operations deemed too risky by banks or for deals requiring a speed of execution that the banking circuit cannot provide.
What risks does an individual lender take when investing through a real-estate IFP?
The primary risk is partial or total loss of invested capital if the project fails (developer default, insufficient sales, budget overruns). The platform does not guarantee repayments and offers no deposit insurance. The lender also bears illiquidity risk: capital is locked until project completion with no guaranteed secondary market. Diversifying across several projects is generally recommended.
In practice
A property dealer needs 300,000 euros to finance the subdivision of a house into three apartments in Nantes. Their usual bank declines, classifying the deal as too speculative. They submit the file to a real-estate IFP platform; after due diligence, the platform opens a fundraise at 9% over 18 months. The deal is fully funded in 12 days by 87 individual lenders.
Official sources
- Article L548-1 (crowdfunding intermediaries) · Légifrance — CMF
- The banking-operations intermediary (IOBSP) · ABE Info Service (Banque de France / ACPR)
- Single register of intermediaries · ORIAS