Thanks. As a fellow investor, I’m well aware of that
My comprehension levels may be low as I’m not.long awake
But as far as a 2019 crowdfunding round I’m not aware of there being one.
It would’ve been set in motion earlier than December though right? The hoops I would expect Monzo to have to have jumped through would have meant they knew there was going to be a round many months before.
Yes absolutely, I believe it took Monzo months working on the app flow
Beth said the £20m was already raised - it wasn’t…
I mean we’ve raised it now, not that we had raised it at the time of that article being written.
Is there any possibility of future crowdfunding taking place ? If so any links with info you know of ?
I imagine it will be a little while before monzo do another crowdfund after their recent raise. Could be wrong, but I don’t think there will be another one this year.
Here is the most recent thread on Crowdfunding which was added to yesterday so should’ve been able to find it with a quick search! - When is the next crowdfunding date?
But tl;dr is might not be one, might be one, no one knows
@cross90 you could take a look here if you do want to buy some shares.
I’ve merged the two.
Is everyone aware of the risks of investing in a non exchange company and the difficulties of wanting to sell those shares if you need to? I’m not clear of what benefits there are? Surely this is just a way of monzo securing funding without having to go through the expensive process of having an IPO on the LSE?
The potential benefits come in the future when they do IPO. It’s long term investment with your fingers crossed
it depends what you are talking about , crowdfunders ? some will not be aware of the illiquid nature of the shares when they chucked in their £100 , most I would hope would have done their own due diligence when offering to purchase a stake in Monzo .
VCs Im sure will have done their due diligence when they chucked in their £5-10 million for their stake in Monzo .
The benefits to investors is that they get a share in Monzo at an early stage at a relatively low valuation.
The benefits to Monzo is they can build the business into a much bigger valuation without giving too much of it away to investors before realising a much bigger - hopefully - valuation at IPO
Every new company seeks investor funding to grow and in turn that company gives away part of their company for that investment.
The basics are either Monzo collapses and you lose all your investment. Monzo gets purchased and you are forced to sell at the market rate at that time (probably higher, but possibly lower) or Monzo IPO, which its share price should have risen (but not guaranteed to have) since you bought the shares, and you can sell your shares or hold onto them.
Thanks all. Just wanted to be sure it was shared openly. I’m all for monzo getting funding - I rsallly rate them
Whilst not on the LSE or public - I believe when a certain % of a company (or when it is an “open” crowdfund) there are a lot of legal/ procedural steps that need to be followed otherwise the FCA will be chomping at the bit.
When I invested in the most recent round, we had to pass a questionnaire/ quiz type thing that was basically telling us the illiquidity of the shares, the likelihood of failure etc etc.
That’s just a requirement for investing in crowdfunded companies, and is a requirement of Crowdcube.
Thats my point - alongside all the legal stuff they had to do - you have to show you understand what you are actually investing in.