People are willing to pay up to £50 for a single revolut share, Monzo will be there soon hopefully
hmmmm …soon… … maybe… that would be about £6bn valuation, which would be a big, big, big jump from £260m
Didn’t Monzo have a cap for the first round?
£1m for first crowdfunding round , £2.5m for second I think
Sorry I meant per individual investor?
Cap per investor was £1,000
Yes I recall now. Imagine if there was no cap, imagine putting £20k in round 1!!
I try to remember that I’m very much caught up in the hype, following the forum day to day, but I can’t help but wonder exactly what the future does look like with the sheer number of excited people, and potential launches in different countries. I’m certainly not planning to sell any time soon. Fingers crossed!
I’m completely in the same boat with you on this one.
I will be investing in this next round but I am well aware that it’s always a risk and that I am just caught in the hype of a product I currently admire and am wishing the best for!
We still don’t know when this round will begin right ?
Correct! As far as I’m aware there’s been no confirmation of date yet
I would say next Easter at the earliest
I have shares in Microsoft, not many, but a fair few. I have never bought shares in an unlisted company before. How does the process differ, if I was to buy shares in Monzo?
You buy them either directly from the company, or through a platform such as Crowdcube. You can then only sell them if you can either find someone to transfer them to, or if the company is sold or floated. They are not liquid like listed shares.
So - if they came back at £3bn next year, how much would you expect to make at IPO? I could imagine them floating at £5bn so wouldn’t be a massive gain after tax, and there’s still a lot of delivery risk. Great gain for your existing shares though, so I would hesitate to increase at that level.
Would you not just hold on to the the shares and ride all the way to £30billion?
It all depends on the amount of equity Monzo are giving away for the next valuation - just for fun lets say £200m raise for 6.5% dilution would give roughly a £3bn valuation - …if the next valuation came in at £3bn (don’t think it will ) your first crowd fund £1000 @50p/share would be worth about £50,000 your 3rd crowdfunding £1000 @ 235p would be worth about £10,000 both before capital gains tax - between 0 and 20% tax rate at the moment.
At £5bn IPO your £1000 stakes would be roughly £82,000 and £16,000 before CGT
according to my spreadsheet anyway
better return than my £1000 ISA at 2% over 5 or 6 years giving me 126 quid return
- its all pie in the sky hype at the moment that Im betting on, and the amount Ive put in if I loose the lot won’t change my life - as I said lost the lot on the last dot com bubble
This is where I get confused with capital gains … do you get any kind of relief for holding on to your shares for longer? (I know Monzo is not EIS)
not that Im aware of in this case - you could obviously delay selling part of your shares rather than selling all in one go, to gain the £11000 CGT allowance every year for a number of years and pay no tax on the profit