Nordstreet is a crowdfunding platform. Crowdfunding is a model of investing money and raising funds, where investments are made by many individuals.

The Nordstreet crowdfunding platform finances various business loans as collateral for existing real estate. It is an alternative way to get loans for small and medium-sized businesses, as well as possible refinancing of existing loans or a loan for starting a business. This type of financing also opens up the possibility of investing in business loans selected by specialists. Anyone can invest the desired amount of money in selected business loans from just 100 €.

We would like to emphasize and be pleased that UAB Nordstreet is included in the Public List of Operators of Concentrated Financing Platforms administered by the Bank of Lithuania. Bank of Lithuania Consumer and Financial Market Participant Dispute Resolution Procedure.

The „NordStreet“ platform is an intermediary between the investor and the project owner, offering a range of carefully selected projects of the highest creditworthiness; however, the investor shall assume all possible risks: risk of full or partial loss of funds allocated for funding (capital); absence of potential profit and financial liquidity risks.

However, these scenarios are highly improbable. „NordStreet“, acting as the creditors’ representative, will ensure repayment of investments: whenever necessary, transfer of property pledged by the project owner may be initiated and other measures may be taken to ensure repayment of an investment.

Nordstreet is included in the Public List of Crowdfunding Platform Operators administered by the Bank of Lithuania. The „NordStreet“ crowdfunding platform is supervised by the Bank of Lithuania, thus the latter has also approved the platform’s business continuity plan. Its purpose is to protect the investors in the event of the company’s bankruptcy. The plan identifies the main risks and the action plan to execute if „NordStreet“ operations were to be suspended.

In this case, the following key actions have been identified:

•      Suspension of the release of new loans.
•      Transfer of loan administration to a temporary administrator.
•       Pursuant to public procurement, the temporary administrator would sell the loan portfolio to another operator which would continue the administration of settlement with the investors.

Important information for Lithuanian residents

If you invest as an Individual, the interest earned is included in Class B income, which you must declare and pay 15% PIT (personal income tax) on that income. This tax must be paid by Lithuanian residents themselves on the total amount of interest received during the tax period, which exceeds € 500, i.e. when the total amount of interest received during the tax period exceeds EUR 500, the amount exceeding EUR 500 is taxed at the rate of 15%.

For the past calendar years, Nordstreet will provide the State Tax Inspectorate with the necessary data on the interest you have received during the calendar year.

When paying penalties / interest to Lithuanian residents, Nordstreet will deduct and pay 15% PIT to the STI budget.

Important information for foreign residents

Interest paid to foreign resident individuals is classified as Class A income and will be subject to personal income tax (PIT) deducted and paid by Nordstreet.

For this reason, foreign residents will automatically be charged 15% personal income tax before paying interest, which will be transferred to the State Tax Inspectorate (STI).

No PIT is required for the payment of penalties / interest to foreign residents.