Freetrade has crushed its £1m target in a new crowdfunding round for 4.41% of equity at a £140m pre-money valuation.
So far over 5,200 people have backed the company’s round and the Crowdcube campaign is still open for further capital injections. To date it has raised £6.45m.
It also raised £3m from existing shareholders before opening the campaign to customers.
“These are uncertain, historic times and we’re seeing unprecedented levels of interest from people looking to invest in the stock market,” the company said in its Crowdcube pitch. “This is what Freetrade is made for. We don’t think the investing industry works well for most current/future investors. High commissions and clunky products can make it complicated for people to start.
“That’s why we created Freetrade — to break down these barriers. We have a simple, freemium pricing model, and have built the tech behind our award-winning app from the ground up.”
The funds will be used to accelerate growth, which has already seen new customer numbers jump to 150,000 since the pandemic hit, while trading volumes doubled through February and March when the financial markets were in turmoil.
The company boasts of having over 150,000 customers. The raise comes after Freetrade bagged $15m in a Series A round in October 2019. That round was led by venture capital firm Draper Esprit.
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