The UK’s million pound crowdfunding success stories
With Britain’s alternative finance market set to reach £4.4bn in 2015, Startups looks at the most significant crowdfunding rounds of the last year…
Last year we identified that UK crowdfunding was “having a moment” but what has become evident over the past 12 months is that this isn’t just a ‘moment’; it is in fact a whole new era for start-up funding and one that’s here to stay.
Crowdfunding rounds for British start-ups now reach multi-million sums, break world records and create new “firsts” for the industry and this rapid growth has seen the sector thrive.
Recent research conducted by Nesta estimates that the alternative finance market will reach a value of £4.4bn by the end of the year with growing levels of confidence predicted for a sector which is, in reality, relatively new.
While Crowdcube and Seedrs remain the leading players in UK equity crowdfunding, there have been several new crowdfunding sites entering the market in the last few months such as VentureFounders, Spacehive, Fireflock, and Funding Tree, to name but a few. And banks have also begun to enter the alternative funding space with the likes of RBS having recently announced plans to recommend peer-to-peer lenders to businesses rejected for loans.
When we assessed 2014’s UK crowdfunding success stories, the largest crowdfunding round listed at the time was £1.2m and was an own bid by a crowdfunding platform. Fast forward to today and funding rounds are quickly breaking that £1m mark as more and more armchair investors look to back Britain’s emerging seed-stage and fast-growth businesses.
Globally, crowdfunding rounds have reached even higher investment figures. On Indiegogo, Australian beehive invention Flow Hive has raised over $10m from 27,000 people in 140 countries and we predict it won’t be long until the UK’s crowdfunding investments match these levels.
To showcase the UK’s burgeoning crowdfunding industry, we’ve brought together the largest crowdfunding investments of the last year including a winery which recently uncorked almost £4m from armchair investors and an “easy” property tech solution which quickly bagged the funding it needed to scale.
Read on to get inspired and learn how your start-up could become a million-pound crowdfunding success story…