Ankhlan Az LLC

With a loan of EUR 47,950 Davaadorj will be able to acquire necessary inventory for the coming construction season.

  • CountryMnMongolia
  • TypeLocal partner investment
  • LenderGolomt Bank
  • Amount€47,950
  • Annual interest2.50%
  • Maturity36 Months
  • CurrencyEUR
  • 3 new jobs
  • 12 people reached

Still €25,150 needed, 40 days to go

Read the information document of the issuer here

Erdenet city is the second largest city in Mongolia, after capital city-Ulaanbaatar and it has 110 thousand citizens. Because of the air pollution and excessed population density in the capital city, more people are encouraged to move to the other cities, such as Erdenet city. Hence, the city is developing rapidly in recent years and many new buildings and apartments are being built.

In 2011, Davaadorj Norson, 45, established his wholesale company to facilitate the development of building industry in the region. He and his wife Bayarjargal operate the business which brought all building materials salesmen together under the one roof, which has become the biggest regional building materials store now. This way, not only they can reduce the product logistics cost, but also they are promoting the local economy.

Davaadorj is utilizing the business opportunity by filling the logistics gap of wholesale market. Transporting construction materials each time from Ulaanbaatar city caused additional cost for the rural developers and created additional hurdle for the regional development. Davaadorj now became one of the main wholesale provider in Erdenet city, providing 16 staff a permanent job place.

The loan proceeds will be utilized for acquiring necessary inventory for the coming construction season to be started from April. The company will hire additional 3 salesmen and fill the working capital gap with the 140 million MNT.


  • Company nameAnkhlan Az LLC
  • OwnerDavaadorj Norson
  • Founded2011
  • LocationErdenet city
  • SectorWholesale / Retail
  • Turnover€431,506.85
  • Employees16

Impact of this project

  • With this investment 3 jobs are created
  • With this investment 12 people are reached

About the investment

  • TypeLocal partner investment
  • LenderGolomt Bank
  • Funding target€47,950
  • Annual interest2.50%
  • Maturity36 Months
  • Repayment periodSemiannually
  • CurrencyEUR

About the risks

What are the risks of lending money to entrepreneurs?

Our local partners cover the risk of currency exchange rates and loan defaults. They do this by maintaining financial reserves for this purpose . In addition, there is an option to claim their equity if needed. While these measures are intended to minimize the risk to funders, our local partners face risks of their own that could effect their ability to secure a loan. These include: - bankruptcy - currency exchange rates - fraud - operational risks - political and regulatory changes - natural disasters or epidemics.

If you invest direct in a company, hence not via a local partner, risks of default are not covered. As the risk that comes with direct lendings is generally higher than an investment through a local partner, the interest rate is also higher.

There is also some operational risk at Lendahand. An example might be that Lendahand is unable to find shareholders to finance their activities. In such a case, Lendahand will handle outstanding loans at the best of its ability. At the same time, our ability to legally address non-payment from local partners becomes understandably difficult.

How does Lendahand minimize the risks?

Local partners must adhere to our mission and work with us to provide loans that are affordable. This insures that local entrepreneurs have access to financing that allows them to grow their business. A local partner must also have a track record. In other words, they must have proven themselves as a meso-credit provider for SMEs. This means (for instance) that the partner must have a solid credit portfolio, along with enough buffers and equity to compensate for unexpected downturns. We also check the organizational structure of the partner and how robust their (internal) procedures are. Finally, the loans that a local partner receives via Lendahand must be in proportion to the partner's total balance sheet. A healthy balance between effectuating influence and independence is crucial. If you would like to receive more information on the financial indicators we employ, please contact us via

When currency exchange risks become too high for a local partner, Lendahand will urge the local partner to cover these risks. In some scenario's the local partner is contractually obliged to comply with these demands.

Lendahand will always conduct due diligence when a Company requests for a direct loan. To provide more insights on risks, an independent partie comes in to perform brief analysis on direct loans. The results can be downloaded on the project detail page of the direct loan. However, this analysis serves primarily as a tool for your own opinion and conclusion. Pay attention to the fact this analysis is not an investing advice.

Does Lendahand provide guarantee on the loans?

No. Local partners take care of the repayment, even if (some) entrepreneurs are unable to do so themselves. If the local partner is for some reason unable to repay then there is a chance of partial or full loss of your money. For this reason Lendahand only selects financially solid partners based on strict criteria.

Also, for direct loans no guarantee is provided.

Does Lendahand have a license or exemption?

Yes. The Dutch Authority Financial Markets (AFM) has provided Hands-on B.V. (with trade name 'Lendahand') in September 2016 with an investment firm license in accordance with article 2:96 of the Financial Markets Supervision Act (Wft). Placing orders on Lendahand's website is therefore an AFM regulated activity. Lendahand also meets its minimum capital requirements of EUR 125,000 following its license as required by De Nederlandsche Bank (DNB).

Lendahand uses an exemption from an approved prospectus that is available up to EUR 5 Million per year. 

How safe are my personal details?

We adhere to strict safety requirements with regards to private and payment details. All sensitive data is sent through an encrypted connection (https). Also, data is stored (encrypted) in a secured facility provided by AWS: the world largest hosting service. Customer documents can only be retrieved by a secured connection and multi-factor authentication.

What happens if the local currency devaluates?

Our local partners and Companies bear the exchange rate risks. We settle the loan, redemptions, and interest payments in euro or in dollar.

Does Lendahand use a third foundation fund?

Lendahand works with LemonWay, a regulated payment service provider. Since LemonWay is a French company there is no 'Stichting Derdengelden' as such. However, LemonWay works in a similar manner and has a license from the French ACPR (Autorité de Contrôle Prudentiel et de Résolution). Your money will be deposited on a protected and secure bank account until the project you have invested in has been fully funded. LemonWay in no way has access to these funds. Once the project is fully funded, the money is transferred to the local partner or Company in question.

What happens with my money if Lendahand goes bankrupt?

If Hands-On BV (containing the brand name Lendahand) would go bankrupt trades between Lendahand and payment service provider LemonWay would cease immediately. LemonWay will then transfer the funds in your personal wallet to your bank account (Note: if at this time the project you have invested in has been fully funded and the money has thus been transferred to the local partner, these funds will not be transferred back to your bank account). LemonWay will then in consultation with a trustee handle all repayments between the investors and investees up until the final repayment of the last project has taken place.

Additionally, Lendahand is part of the investor compensation scheme (ICS). This scheme aims to compensate individuals and small businesses who have trusted money and or financial instruments (such as notes or options) to a licensed bank, investment firm or a financial institution in case the financial firm is unable to meet its obligations arising from claims related to the investment service. The ICS guarantees an amount of up to EUR 20,000 per individual. For more information, go to

Why is my money going to a payment service provider?

As part of the AFM license for investment firm it is required that operational activities carried out by Lendahand (maintaining the website, contracting of local partners, legal issues, etc.) are strictly separated from financial transactions (payments made through the website). LemonWay takes care of the payments. This collaboration offers you more security, since your money is placed on a protected bank account immediately after you have made your payment.

What happens when LemonWay goes bankrupt?

The money of investors already on the (shielded) bank account of LemonWay will not be part of the bankruptcy. Bank BNP Paribas will then handle the case. Money outstanding with Local Partners and Companies (direct loans) will be handled by a to propose curator.

What happens when a local partner goes bankrupt?

When a local partner goes bankrupt, there will be a chance that you lose (part of) the amount you lend. Obviously Lendahand will try to recover outstanding payments, but the success rate will be limited in such situations. For the investor there is no possibility to take action against the financial institution. From a legal point of view the local partners are separated, therefore it is recommendable to spread loans across different local partners.

About Golomt Bank

Number of companies in portfolio2,473
Total assets€1,596,130,000
Leverage ratio8.00%
Write-off ratio last 12 months2.86%
% investment amount in arrears (>90 days)0.95%
% investment amount in arrears (>180 days)1.98%

We have already contributed for Ankhlan Az LLC

W200h200 imageTon Van der Meer
W200h200 1781961 534157220037035 1184209882 nJacques van den Bosch
W200h200 ronRon van Eijk
W200h200 screenshot 2015 02 25 18 24 10Erik Hamelink
W200h200 2014Poul Brands
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