Start-up Monzo raises £1m from the crowd in just 96 seconds
London-based mobile banking business will use "record breaking" Crowdcube round to facilitate launch and roll-out services
London-based Monzo, a mobile-first banking start-up, has secured £1m investment in a “record-breaking” 96 seconds via equity crowdfunding platform Crowdcube.
The capped fundraise saw 1,861 investors back the campaign for a share 3.33% of the equity, with an average amount invested of £542.
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Founded in 2015 by Tom Blomfield and yet to launch officially, Monzo will allow smartphone users to access traditional bank products and services from their smartphones. The start-up is currently applying for a full UK banking licence.
Having already received £7m from Passion Capital in two separate funding rounds, Monzo will use this latest finance to kick-start its public launch and accelerate the roll-out of its services.
Blomfield said: “We’re the first bank to enable customers to become shareholders through a crowdfunding platform. Our customers are already helping us to build the bank from the ground up by alpha testing the mobile app.
“They deserve to be a real part of our journey to be a bank that people can trust and puts them back in control of their finances. We want to continue to involve them in future funding rounds.”
Luke Lang, co-founder of Crowdcube, added: “The eagerness of the crowd to get behind Monzo highlights the real need for change in banking and the increased interest in Britain’s thriving financial technology sector.”