Certified Audit Reveals Top Marks For The Growing Real Estate Lending Platform

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Aug 24, 2016, 08:07 ET

GREAT NECK, N.Y., Aug. 24, 2016 /PRNewswire/ -- SHARESTATES, a growing online lending platform for real estate investment properties, announced it got high marks from USProServ, LLC, an outside consultancy that specializes in compliance remediation, network infrastructure and data security for financial/insurance companies.

The audit, commissioned by Sharestates, revealed that the crowdfunding site earned high marks on security and compliance, revealing that the company is committed to making sure its users are secure beyond the current governing bodies of compliance requirements.

"The Sharestates Executive Management group supported our efforts to remediate issues and adopt recommended Policies and Controls identified in our Gap Analysis. Despite the process having an adverse effect on their traditional standard operating procedures, management backed our initiatives and encouraged their staff to embrace this effort to meet or exceed the current compliance requirements and set them firm apart from the pack." Said USProServ LLC, President / CIO Warren Hampton. "Work has already begun on attaining an even higher level of security and compliance aimed at protecting the consumer and investors private information through the real estate funding process," Hampton added.

The audit was conducted by Kushner, Smith, Joanou and Gregson, LLP who certified that Sharestates has achieved its "SOC 2 Type 1 Certification" under the American Institute of CPA's for controls relevant to Security, Availability, Processing Integrity, Confidentiality and Privacy.

"We are extremely pleased with the results," said Sharestates CEO Allen Shayanfekr. "As part of our evolving dedication to our community of peers and investors, we are striving to make the crowdfunding experience a pleasant and secure one for all participants."

According to Sharestates Principal Radni Davoodi, the company's founders feel strongly about taking the initiative to raise the standard for tighter security measures that will directly benefit their users and partners in the crowdfunding sector space.

"Our compliance and technology teams are committed to incorporating proven methods of fraud prevention that are the fundamental stepping stones for high target industries, such as the banking institutions," added Davoodi. "It's up to our peers and us alike, as the leaders of this financial movement known as crowdfunding, to set the standard for our industry moving forward."

The Sharestates founders, who are veterans in the recently regulated title insurance industry, know first-hand about the dangers in the cyber world and the course of actions needed to mitigate the dangers. "These are baby steps towards our ultimate visions," added Davoodi.

To further secure its site, Sharestates also uses Lexis Nexis, the leading service provider for comprehensive background, OFAC, and AML compliance checks, the software, that is considered to be the banking industry's standard for compliance purposes, provides Sharestates with thousands of databases against which it checks out borrowers and investors.

"While our industry isn't required to do so, Sharestates is taking the initiative to set the standard for best practices in what promises to be an exciting space," added Shayanfekr.

ABOUT SHARESTATES:

Sharestates is a real estate investment marketplace that allows individual and institutional investors to participate in rigorously vetted debt and equity offerings. All of the offerings on Sharestates' platform have passed through a 34-point underwriting process.

To compete in the market, Sharestates leverages proprietary technology and a close partnership with The Atlantis Organization, which – founded by Radni Davoodi and Raymond Y. Davoodi in 2004 – has become one of the nation's leading title agencies. This partnership provides Sharestates with access to and credibility among an expansive network of real estate developers, investors and lenders, cultivated over the course of more than $4 billion in transactions that Atlantis has managed over the years.

Since Sharestates.com launched in 2015, it has closed over 200 transactions with more than $145 million in funding, across the United States, with zero loss of principal and net annualized returns ranging from 10 to 20 percent. For more information, please visit https://www.sharestates.com.

Contact

Dominique Ingram
212-201-0750
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SOURCE Sharestates