Chip looks to raise funding through crowdfunding campaign

Digital savings account Chip is looking to raise up to £20m in the coming week through a crowdfunding campaign on Crowdcube.

The company will use the capital to support growth initiatives across its marketing, product and technology.

This is just part of Chip’s funding efforts, with plans to raise to total of £100m over the next 24 months.

Chip has experienced strong growth in the past year, with it having processed more than £600m in savings, reaching £5m in daily deposits, boosted its user base by 60% to reach 400,000 and had an average user balance increase by 545% to go from £459.35 in September 2020 to £2,961.03 in September 2021.

Chip has also seen its revenues grow by 500% since December 2020.

Chip CEO and founder Simon Rabin said, “Having focussed for the past year on adding returns products to Chip, the growth of our revenues, and optimisation of our unit economics, this round of investment is a strong endorsement of the strategy we pursued in 2021.

“We have ambitions to take Chip global, and this round is the start of an aggressive growth stage as we work towards becoming the UK’s first fintech savings unicorn. It represents a fantastic validation of our strategy over the past year, cementing our plans to expand Chip across Europe and rocket our valuation and shareholder value much further.”

The FinTech company provides consumers with a savings account with access to a selection of investment opportunities to grow their wealth.

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