Monzo, which has now crowdfunded over £4.2m on Crowdcube, has announced that it has raised a further £85 million in its latest fundraising round led by General Catalyst and Accel. Existing investors Passion Capital, Goodwater, Thrive Capital, Orange Digital Ventures and Stripe have also participated in the round.
The latest funding round puts Monzo in the exclusive ‘Unicorn Club’, which is reserved for businesses valued over $1 billion. It has also become Crowdcube’s third unicorn, following in the footsteps of BrewDog in 2017, and Revolut earlier this year.
Since being founded in 2015, Monzo has now amassed more than one million customers and accounts for 15% of all new bank accounts opened each month in the UK. This latest round of finance will be used to further expand the business and develop even more tools to give customers control of their finances.
Monzo will also soon be announcing a large crowdfunding round in partnership with Crowdcube, giving its community of customers the chance to invest later this year. Previous funding rounds on Crowdcube have seen Monzo break the world-record for the fastest ever equity raise, raising £1 million in just 96 seconds. The upcoming crowdfunding round aims to give as many customers the chance to invest as possible.
Monzo co-founder and CEO Tom Blomfield said:“We started Monzo because we wanted to make a positive difference to people’s financial lives. It’s incredible that more than one million people are now using Monzo and a testament to all the hard work that’s gone into building the company over the last three-and-a-half years. While we’ve come a long way, we feel we’re still very much at the start of the journey. I’m really excited to be working with two new world-class investors to help bring Monzo to millions more people.”
In the news
We're excited to announce that we've closed a new round of funding! 🎉 https://t.co/n27ZoN7KW5
— Monzo (@monzo) October 31, 2018
Monzo, the U.K. challenger bank, raises £85M Series E at a £1B pre-money valuation https://t.co/eoEz60ZeX6 tip @Techmeme
— Steve O'Hear (@sohear) October 31, 2018
@monzo is Britain’s newest unicorn after raising £85m. I jumped on the phone with @t_blom to talk growth plans, profitability, IPO ambitions, and more:https://t.co/NxmAriHRNG#fintech#banking#neobanks#startups#VC
— Oscar Williams-Grut (@OscarWGrut) October 31, 2018