Crowdfunding net return.

Crowdfunding investment return calculator factors in projected returns, default rates, and platform fees. Property crowdfunding (Octopus, Crowdproperty) typically advertises 7-10% gross returns. After 2-5% defaults and 1-2% platform fees: 4-7% net returns. Equity crowdfunding (Seedrs, Crowdcube) much higher variance - mostly losses with occasional 10-100x winners.

Example: 10,000 invested in property crowdfunding at 8% gross, 3% defaults, 1% platform fee = 4% net return. Over 5 years: 12,167 future value. 2,167 net gain. Same 10,000 in S&P 500 at 7%: 14,026. Crowdfunding underperformed despite higher 'gross' yield because of default and fee drag.

Property crowdfunding risks: illiquidity (locked 1-5 years), platform failure (unregulated by FSCS), borrower defaults (especially during downturns), fees buried in small print. Equity crowdfunding (startup investing): 70-80% complete losses, 10-20% modest returns, 5-10% big wins. Diversify across 20+ deals minimum. Both unsuitable for emergency funds - illiquid and risky despite marketing claims.

A worked example

Try the defaults: investment amount of 10,000, projected gross return of 8%, annual default rate of 3%, annual platform fee of 1%. The tool returns 12,166.53. You can adjust any input and the result updates as you type — no submit button, no reload. That's the real power here: seeing how sensitive the output is to one or two assumptions.

What moves the number most

The result responds to Investment Amount, Projected Gross Return %, Annual Default Rate %, Annual Platform Fee %, and Investment Period. Not every input has equal weight. Flip one at a time toward extreme values to feel which ones move the needle most for your situation.

The formula behind this

Net rate = gross rate - default rate - fee. Future value compounded at net rate. Everything the calculator does is shown in the formula box below, so you can check the math against your own spreadsheet if you want.

Using this well

Treat the output as one point on a wider map. Run it three times — a pessimistic case, a central case, and a stretch case — and plan against the pessimistic one. That habit alone separates people who stick with an investment plan from those who bail at the first wobble.

What this doesn't capture

Steady-rate math ignores real-world volatility. Actual returns are lumpy; sequence-of-returns risk matters most in drawdown; fees and taxes drag on compound growth; and behaviour changes in drawdowns can reduce outcomes below the projection. Treat the number as one scenario, not a forecast.