Crowdcube Limited, the Exeter, UK-based crowdfunding website that allows people to have equity in exchange for their investment in companies, has raised £300k through its own platform.
162 investors have acquired a 9% stake in the company.
Co-founded in 2010 and launched in February 2011 by by Darren Westlake and Luke Lang, Crowdcube intends to use the funds to accelerate its next phase of growth.
Using “crowdfunding”, the platform provides a platform for entrepreneurs of start-ups and established businesses to connect with potential investors, who can invest as little as £10 into a business without self-certifying that they are high net worth individuals. On a dedicated webpage, entrepreneurs can “pitch” their business, explain to potential investors the reasons behind the fundraising, upload a video pitch, images and documents, update investors on the progress of their pitch, etc.