Raize

At a Glance

What is Raize in 60 Seconds

Raize is a Portuguese lending platform based in Lisbon and operating since 2014. It lets retail investors lend to small and medium-sized Portuguese businesses, and it also arranges grouped SME bond issues known as PME Bonds. The entry point is low, at EUR 20 per loan, which encourages investors to spread money across many businesses.

Raize is authorised as a European Crowdfunding Service Provider (ECSP) under the supervision of the CMVM, Portugal’s securities market regulator. Unusually for a P2P platform, it publishes an average return figure of 5.90% that is stated after losses, which gives a more realistic sense of what investors have historically kept.

Strengths

• Authorised under the EU ECSP regime and supervised by the CMVM, Portugal’s securities regulator.
• A long operating history since 2014, well established by crowdlending standards.
• Very low minimum of EUR 20 per loan, which makes broad diversification straightforward.
• Publishes an average return of 5.90% stated after losses, a more honest measure than a gross headline rate.
• Two complementary products: direct SME loans and grouped PME Bond issues.

Things to Watch

• Lending to SMEs carries real default risk; small businesses can and do fail, and the 5.90% figure already reflects historical losses.
• Returns are concentrated in the Portuguese economy, so there is limited geographic diversification.
• A net return of 5.90% is modest and may look thin against inflation or higher-yielding alternatives.
• SME loans and bonds are illiquid; expect to hold to maturity unless a secondary option is available.
• ECSP authorisation governs the platform’s conduct but does not protect your capital if borrowers default.

How It Works

Raize sources funding requests from Portuguese SMEs and lists them for investors, who lend from EUR 20 per loan. The borrowing business repays interest and principal over the agreed term, and the platform handles collection and distribution to lenders. Because businesses vary in creditworthiness, spreading small amounts across many loans is the standard way to manage the risk of any single default.

Alongside direct lending, Raize arranges PME Bonds, which are grouped bond issues that bundle SME financing into a security. This gives investors a second route into the same underlying market, structured as a bond rather than a series of individual loans, and reflects the platform’s dual footing in both lending and securities.

Who Is It For

Raize suits investors who want regulated exposure to Portuguese SME credit, who are content with a modest net return in the region of 6%, and who value the platform’s honesty in reporting figures after losses rather than before them.

How It Compares

As an SME lending and securities platform, Raize occupies a different niche from property-focused peers, and its after-loss reporting is more transparent than the gross-yield headlines common elsewhere. Its net return sits at the conservative end of the crowdlending market, closer to platforms such as October that also lend to European small businesses, and well below the double-digit rates advertised by higher-risk operators.

FAQ

Is Raize regulated? Yes. Raize is authorised as a European Crowdfunding Service Provider (ECSP) under the supervision of the CMVM, Portugal’s securities market regulator. This covers the platform’s conduct but does not guarantee the money you invest.

What return can I expect? Raize reports an average of 5.90% stated after losses. Because that figure already accounts for defaults, it is a more realistic guide than a gross rate, though your own result will depend on the specific loans you back.

What are PME Bonds? PME Bonds are grouped SME bond issues that Raize arranges, bundling small-business financing into a security. They offer a second way to invest in the same underlying Portuguese SME market alongside direct loans.

How much do I need to start? The minimum is EUR 20 per loan, one of the lowest in the market, which makes it easy to diversify across many borrowers from a small starting balance.

The Bottom Line

At position #24, Raize is a long-standing and unusually transparent SME platform whose modest returns keep it mid-table. The CMVM authorisation, the decade-plus track record and the after-loss reporting are genuine strengths, and the low minimum makes diversification easy. The trade-off is a net yield near 6%, concentrated in Portuguese small-business credit, which will feel thin to investors chasing higher rates. For those who prize honesty and regulation over headline yield, it earns its place.

Capital at risk. P2P lending is not covered by deposit-guarantee schemes.

Affiliate Disclosure

TopPulse is not an affiliate partner of Raize. Links go directly to the platform. This does not influence our editorial position.