Crowdcube bags £8m in “largest ever raise” for crowdfunding platform
Startups 100-listed crowdfunding site will use funding to target more venture and growth-stage businesses
UK equity crowdfunding platform Crowdcube has raised £8m in funding from more than 3,700 crowd investors alongside £1m from Balderton Capital.
Launched in July, the round is thought to be the largest ever raise for an equity crowdfunding platform, with an average sum of £1,824.
Started in 2011, three-time Startups 100-featured Crowdcube was one of the first crowdfunding platforms of its kind in the country. To date, the site has seen more than £184m invested in more than 430 rounds, from a community of over 300,000 investors.
Based in Exeter, but with offices in London and Spain, the company will use the finance to fuel its growth ambitions. These include plans to target more venture and growth-stage businesses and hit its forecast of 500,000 members by the end of 2017.
Crowdcube is also planning to pioneer secondary liquidity to give early investors in UK start-ups the option to sell their shares if demand exists.
Darren Westlake, CEO and co-founder of Crowdcube, said: “Crowdcube has played a key role in cementing Britain’s position as a global fintech leader, and this shows that investors’ appetite for backing ambitious British businesses seeking growth capital remains as strong as ever.”