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Crowdcube raises more for UK businesses than any other equity crowdfunding platform

By Crowdcube. 25th Oct 2018

Beauhurst-Q3-2018-Blog-Header

We’re pleased to announce that Crowdcube has facilitated more investment, and funded more businesses, than any other equity crowdfunding platform in Q3, according to the latest independent data from Beauhurst.

We’re continuing to lead the market, with 52% of the funds raised through equity crowdfunding this year having been invested through Crowdcube, which is more than both our nearest competitors combined.

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In Q3, Crowdcube raised more than double and funded 35% more businesses than our nearest competitor. The graph below shows official data from Beauhurst and how Crowdcube has been the most active investor throughout 2018.

01-Amount-raised-Q3-2018

Looking back over the first half of this year, the amount raised on Crowdcube has increased by 16% compared to H1 2017, and 7% compared to H2 2017.

02-Amount-raised-H1-2018

The graph below shows the average raise size for each quarter this year. From July to September, we saw seven businesses raise £1m or more on the platform, including Harts Group, which raised £2.3m to open its biggest Barrafina restaurant.

Not only this, in September, we reached a new milestone of funding more than 100 £1m or more raises. This milestone reflects how high-growth companies are using Crowdcube to not only fund their initial start-up costs, but also to support raise growth capital.

05-Average-raise-size

The following two charts show the number of raises in Q3 and also for 2018 so far. Both charts include pre-emption and follow-on raises across all platforms.

03-Number-of-raises-Q3
04-number-of-raises-2018

(Source:all data is from Beauhurst, an independent data provider)

Highlights from Q3

  • While Beauhurst’s analysis only includes funding rounds for UK businesses, we’re pleased to report that we’ve also raised £1.75m for nine businesses based in Europe and the US. This brings the total amount invested through Crowdcube in Q3 to £29.1m, funding 51 businesses as a result.
  • The most popular sector for investors this quarter was healthcare and health tech, with £6.5m being invested, followed closely by fintech and the food & beverage sector.
  • More than 30 businesses raised £500k or less in seed finance, including Propifi and Northern Bloc Ice Cream.
  • Eight businesses returned to Crowdcube for a pre-emption or follow-on round, including Zzish and Emoov, which returned for its second round, and raised £1.8m following its £100m merger with Urban.co.uk and Tepilo.

We couldn’t have achieved such a phenomenal quarter without the support from our investor and business community.

We’ve previously written about the metrics that matter and how accurate data is such an essential factor for entrepreneurs when considering which platform to use. With this article, we attempt to demystify the data to clear up any confusion around the equity crowdfunding industry and allow businesses to make a clear decision whether it is right for them, and which platform is best suited to their financial requirements.

If you’d like to find out more and whether crowdfunding is right for your business, you can register your interest today.

Risk warning

Investing in start-ups and early stage businesses involves risks, including illiquidity, lack of dividends, loss of investment and dilution, and it should be done only as part of a diversified portfolio. Crowdcube is targeted exclusively at investors who are sufficiently sophisticated to understand these risks and make their own investment decisions. You will only be able to invest via Crowdcube once you are registered as sufficiently sophisticated. Please click here to read the full Risk Warning.

This page is approved as a financial promotion by Crowdcube Capital Limited, which is authorised and regulated by the Financial Conduct Authority. Pitches for investment are not offers to the public and investments can only be made by members of crowdcube.com on the basis of information provided in the pitches by the companies concerned.