Mondo Bank Raises £1 Million in 96 Seconds. Sets Equity Crowdfunding Record
If you were able to purchase shares of Mondo Bank on Crowdcube – Congratulations. But if you blinked and did not register at exactly 1PM GMT sorry. You are out of luck.
Mondo Bank raised £1 million from investors in just 96 seconds. This is according to a tweet generated by Crowdcube – and since verified by a public release. Mondo saw 1,861 individuals invest on average £542. Over 8500 individuals registered interest in the equity crowdfunding offer. The million pound raise is part of a £6 million funding round that saw participation from very prominent VCs like Eileen Burbidge’s Passion Capital. Mondo now has a post-money valuation of £30 million – event though it is still waiting for a full UK banking license (expected later this year).
“This is a great start for Mondo as it embarks on a trajectory that could see it becoming a company the size of Facebook or Google for banking.”
The crowdfunding investors have the exact same rights as the VCs – that’s big. The million pound amount represents a 3.3% equity stake in the soon to be launched digital bank.
We are pretty comfortable in declaring a world record in equity crowdfunding for fastest million pound raise – ever. If you believe we are wrong – please let us know as we would love to hear about it.
Tom Blomfield, CEO and founder of Mondo, released a statement;
“We’re the first bank to enable customers to become shareholders through a crowdfunding platform. Our customers are already helping us to build the bank from the ground up by alpha testing the mobile app. They deserve to be a real part of our journey to be a bank that people can trust and puts them back in control of their finances. We want to continue to involve them in future funding rounds.”
As we have published previously, Mondo is a digital challenger bank that wants to fix what is wrong with traditional banking. That means no more trips to the local branch. No more surly tellers. And all transactions will be handled online (or on your smartphone). Mondo is one of several disruptive banking startups preparing to challenge the banks of lore. The UK is the perfect market to set the Fintech pace as regulators encourage competition (as opposed to discouraging it…). While there are only a few digital challengers poised to disrupt big banks – expect more to follow. Hopefully they will raise capital online too, giving smaller investors a chance to join in the growth of the nascent industry.