Can I invest in the current/latest funding round or not?

[binhbui]

I am a current investor via the Crowdcube funding round that happened awhile ago - should I be getting updates on these kind of things from Monzo?

I only saw this via a news article: https://sifted.eu/articles/monzo-downround-coronavirus/

Apparently it’s not going particularly well but I wouldn’t mind throwing some extra money in. Can anyone advise?

[SajSabir (Saj)]

I hope they also include existing Crowdcube investors in this downround as I’d be happy to invest more.

[Rat_au_van (Em)]

It would take a lot of effort for a crowdfunding round

I think it’s just institutional

[Feathers (MikeF)]

@binhbui

should I be getting updates on these kind of things from Monzo?

I don’t think so, no.

[SWPhilosophy (Stephen Wright)]

Welcome! I also invested in the Crowdcube round last time out, but I didn’t hear anything about this round (other than the same news you heard). These are, I think, worrying times for the company – being reliant on external funding is dangerous when investors are looking to be cautious. But if it can get through this, that will be a good sign of resiliency.

These are usually the times when Warren Buffett looks to put Berkshire Hathaway’s cash pile to some use – anyone got his number?

[albanr (Alban)]

Seriously?
When a journalist cannot mention anything great about Monzo apart from the equivalent of 1 day of Revolut users growth “during Q4 2019, with a total of 20,843 net switches.”, one must just laugh.

https://www.altfi.com/article/6584_monzo-sees-valuation-plummet-by-nearly-40-in-latest-fundraising-bid

[Feathers (MikeF)]

People are allowed opinions that differ from yours, you know.

[SouthseaOne (Michael)]

Different opinions on the interweb? That’ll never fly

[dpschramm (Daniel Schramm)]

Is there official word on whether this round will be opened up to Crowdcube investors?

[Bruce (B)]

There won’t be a crowdfund without proper notice and advertising. This has not happened. So the next rows fund would not likely be soon.

[abhatti (amrik bhatti)]

I would be more than willing to invest further into Monzo and I am sure they could raise well over £40 mil from its current investors and more than £80 mil if all customers were allowed to invest in Monzo even if the valuation of Monzo was higher than the previous valuation so why are the board and Tom B accepting a 40% reduction in valuation from previous VC’s and not allowing crowdfunding investors to participate in this funding round? Sounds like a deal to allow previous VC’s to make a lot of money when Monzo does IPO in 3/4 years but crowdcube investors will miss out.

[anon95680666]

hmmm because anybody wanting to put their £100 in to double their stake ends up costing Monzo a lot compared with a VC putting in £5 million

Next opportunity to crowdfund?

We would love to include more people in our crowdfunding - I speak to people every week who are disappointed that they missed out in previous rounds. It’s really frustrating for us that we can’t let everyone put money in who would like to. There are 2 issues; There’s a €5m EU cap on crowdfunding (which gets reset every 12 months). Administration fees cost around £4 per crowd investor per year. We’ll probably need to pay these for at least 5 years until we eventually IPO. So call it £20 pe…

[JohnPhillips (John M Phillips)]

I think it’s extremely disappointing that they didn’t reach out to previous investors and I didn’t even know anything about this round

[TMannall (Tom)]

It takes a lot of effort to organise a crowdfunding round, considering Monzo is having to make redundancies it doesn’t seem like a good use of their time. Especially when they can easily garner investment from their existing investors.

[Revels]

And say what?

“Hi. Thanks for investing last time. This round isn’t for you”

[anon95680666]

there has been quite a lot of comment in the press / twitter / forum feed about it over the last few months

[StuartB (Stuart)]

Exactly.

To use an analogy it would be like Ticketmaster sending me an email all about an amazing concert I might be interested in then mentioning it was a private gig with no public access.