Crowdfunding update #6 August 2020

Updated: Sep 13


News 📰


It's quite a fintech-heavy crowdfunding update today, I hope that you enjoy and don't mind that it's quite chunky!


Tickr and Oddbox have become B corporations, which is a certification that represents purpose/mission-driven businesses. This follows the footsteps of other crowdfunded businesses that have become/are becoming B corps, such as Brewdog, Allplants and Finisterre.


Savings fintech Plum has reached a milestone of 1m users. This comes as they have secured £7m VC investment at a significant Valuation uplift, with the funds planned to be used in their expansion into europe. We sadly might not see a pre-emption campaign for this round after all.


Challenger stockbroker Bux have launched in Belgium with their commission free trading app Bux Zero. In Belgium, Bux now have a first mover advantage. Belgium is the fifth european country BUX have expanded to, having launched in the Netherlands, France, Germany and Austria. They now have 300K users, having only launched BUX Zero in September 2019. Bux have previously ruled out UK expansion due to the complications around Brexit and their EU broker license. Freetrade, another crowdfunded neobroker, are slated to launch in France and Germany in the coming months.


Crowdcube have now launched a secondary market(ish) product! It will allow employees of later stage companies (e.g. Citymapper) to sell their stock (options), much like Seedrs hope to do with their Capdesk partnership. Seedrs have also made changes to their secondary product, allowing ‘variable pricing’, i.e. share prices can now be sold 30% higher or lower to their last price on fundraising.


Numerous banking startups have raised funds. Monzo underwent an ~£60m downround (40% reduction on their previous valuation; still maintaining a 15x return for the first crowdcube investors) earlier in the year. This follows Monzo posting £110m losses. There has also been a shakeup of management, with founder/ceo Tom Blomfield leaving the company's board of directors. Competitor Revolut tripled their customer base to 10 million and raised over £400m, whilst maintaining their valuation of ~£4Bn. Revolut posted similar losses to Monzo, ~£107m. Spanish peer Bnext also raised an additional ~£10m to continue expansion into Mexico/Latin America. Bnext now have 300k users.


Curve are looking to raise over £100m in an upcoming funding round, which has been confirmed to *not* reflect a £1bn+ valuation. Curve have also recently launched ‘SamsungPay’ ( think Googlepay/ApplePay but with Samsung) and have a credit offering (akin to klarna, the ‘buy now pay later’ service) slated for launch later this year.


Savings/Investment fintech Strowz cancel their crowdfunding campaign. Following withdrawal of investment from their lead investor (citing poor traction from the campaign), Strowz have had to cancel their Seedrs campaign. They plan to raise funds again in the future. Earlier this year, Strowz pivoted from an investment/advisory fintech to more of a savings model. The startup had previously received investment from the Holt Accelerator, an investment vehicle from the wealthy Holt family of Canada.


Rumours 📰


Crowdcube and Seedrs are rumoured to be merging! I’m not sure where this rumour originated, but it has been perpetuated by reporters from the Financial Times, and crowdfunding 'personality' Robert Brown (ECF.Buzz). Crowdcube and Seedrs have neither confirmed nor denied this rumour. What do you think? Share your thoughts in the comments.



Private Live Campaigns 👤


Wisealpha - Investment fintech; allows retail investors to invest in corporate bonds (i.e. loan money to large companies, such as Virgin Media). Invest here (two days left!).


💡 This is a private round and therefore, whilst you can still invest, alot of information is restricted to existing investors (on Wisealpha's website/shareholder forum).


Upcoming Campaigns 📆


Urban massage - Uber for wellness. Pre-register here.

Zumo - Crypto fintech. Pre-register here.

RNWL - Insuretech from the founder of crowdfunding platform SyndicateRoom

NextUp - Netflix for comedy

Chip - Plum/Moneybox competitor




Crowdfeed labs🔬


The pitch deck library is very much still in development, and it will likely be a few months until I have something worth launching. Please continue to feel free to send any pitch decks (failed companies only for now) to admin@crowdfeed.net. it's the last ingredient I need 👌Thank you!


Dont forget that crowdfeed has an app! 😍 You just download the Wix app on the play/app store and use invite code "6M1FGU" or just click here.


Thanks for reading! Please do let me know your thoughts on these campaigns and news in the comments. Feedback is always appreciated too! 🤗


Bye!

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