Number of UK crowdfunding platforms up by 50% in 2013
Rise in crowdfunding sites with “87” platforms now active in the UK
The number of crowdfunding platforms operating in the UK rose by over 50% in 2013, according to recent figures released by innovation charity Nesta.
Since the beginning of 2011, crowdfunding sites have “shot up” and, according to the study, there are now 87 platforms; equity, reward, charity and lending-based, active in the country, with 27 of these launched in 2013, and a further seven platforms launched at the start of 2014.
The figures, which were released to coincide with the one year anniversary of Nesta’s crowdfunding directory CrowdingIn.com, demonstrate the shift in demand for alternative finance with more and more entrepreneurs looking to crowdfunding sites as a means to raise funds over traditional bank loans.
Recent research released by AltFinanceNews reported that the UK’s alternative finance sector exceeded over £1bn in total transactions in 2013, a figure which Nesta estimates will rise to £1.6bn this year.
Nesta senior researcher, Liam Collins, said: “We’ve seen phenomenal growth in the number of platforms over the last five years, across every type from reward-based crowdfunding to peer-to-peer lending.
“Crowdfunding has proved immensely popular, both in the UK and globally, and these figures show that this trend is set to continue.”