Member Article

London’s biggest crowdfunding successes of 2015

2015 has truly been the year of the startup. Home to around 600,000 new businesses, London is a breeding ground for technology for innovation. Over the last 12 months, I’ve been fortunate enough to speak to several successful entrepreneurs in the capital, many of whom have been making the most of the digital revolution in order to raise funds. Crowdfunding platforms such as Crowdcube, Kickstarter and Seedrs have boosted the capital’s startup community, allowing entrepreneurs to gain both national and international support for their ideas.

Here’s a round-up of our favourite crowdfunding success stories of 2015:

Sugru

Raised: £3.5m

It’s only right that we start with the biggest star of 2015. Sugru, the world’s first mouldable ‘glue’, closed its crowdfunding campaign on Crowdcube after raising £3.5m from 2700 investors.

Founded by entrepreneur Jane ni Dhulchaointigh, the East London startup smashed two equity crowdfunding records with the largest single investment of £1m and by having the widest reach with stakeholders in 68 countries. The pitch overfunded 355% above the original target.

Chilango

Raised: £3.4m

After smashing its target in just 11 days, it’s no surprise that Chilango is second in our list. The Mexican food chain Chilango went on to triple its target and bag £3.4m in backing.

The money will fund Chilango’s expansion plans that expect to see five-fold growth by 2021 and creation of around 600 jobs. The 1519 people who invested received an 8.72% equity stake, with the largest investor putting in the significant sum of £300,000.

JustPark

Raised: £3.7m

A startup set to solve one of the biggest first world problems - parking. JustPark smashed its £1 million crowdfunding target by 370%, raising £3.7 million in 34 days through Crowdcube.

The innovative app and website, which connects parking space owners with drivers looking for a convenient space, secured an average of £1,2000 from more than 2,900 investors.

POD Point

Raised: £1.2m (so far)

With 18 days to go, POD Point is well on its way to its £1.75m target on Crowdcube. The Tech City-based supplier of charging points for electric and hybrid vehicles in the UK, launched the campaign last month.

The firm plans to use the funds raised as growth capital and also to finance the initial rollout of its next generation public charging network, POD Point Open Charge.

The total will be raised from two distinct financial instruments, with £1.5m of the target coming from an equity investment dubbed ‘Electric Equity’ and the remainder from a £250k crowdfunded ‘Open Charge’ bond.

Honest Brew

Raised: £400,000

A personal favourite, Honest Brew initially targeted £300k on Crowdcube to fund ongoing expansion. The subscription beer services offers a bespoke customer experience, working closely with small brewers across the UK and Europe.

Brainchild of New Zealand-born entrepreneur, Andrew Reeve, Honest Brew now works with over 50 providers from the UK, Europe, US and Australasia for its customisable “Honesty Boxes”. The startup stocks several industry favourites including Camden Town, Wild Beer Co., Anchor and Brooklyn, as well as a number of lesser-known local brands.

Earlybird

Raised: £129,500

Subscription snacking service, EarlyBird is another startup that has successfully overfunded its campaign. Initially targeting £75,000, the startup has secured nearly £130,000 to fund its fight against industry leader, Graze. Founded by Oliver Pugh and Jamie Trinder, Earlybird is determined to take 25 per cent of that market in the next three years.

Shoreditch Grind

Raised: £1.3m

Grind, the independent coffee and cocktail bar behind Shoreditch Grind, bagged over £1.3m in funding through a mini-bond on crowdfunding platform Crowdcube – smashing its initial target of £750k.

The bond, which was launched in June, was contributed by 467 investors and will fund the construction of a state-of-the-art London roastery, as well as the expansion of the group.

This was posted in Bdaily's Members' News section by Ellen Forster .