A North East crowdfunding venture has reached its target of £150,000 of investment within 10 minutes.
Growth Capital Ventures, a financial technology business that develops and operates online funding and investment marketplaces, used its own platform to raise capital to grow and expand.
The company listed a pitch on GrowthFunders, an equity and rewards-based crowdfunding and co-investment marketplace, which connects online angels, angel networks and venture capitalists to businesses with high growth potential.
The support came from Growth Capital Ventures’ existing network of online investors, who had been anticipating the listing.
And, having reached their target so swiftly, the firm is leaving the opportunity open to allow more investors to get involved.
The company launched the fundraising campaign on Monday 1st September, with a target fund raise of £150,000 seed capital to fuel the next stage of growth.
Norman Peterson, chief executive officer of Growth Capital Ventures said: “Our pitch went live at 1:50pm and within 10 minutes, we’d reached our target, which is absolutely fantastic.
“Investments have been coming in from a number of online angels and crowd investors, with the largest single amount so far being £25,000. However, the great thing about the GrowthFunders platform, is that smaller investors can also get involved from as little as £100, investing on the same terms as angel networks and VCs and receive up to 78% tax relief.
“We’re thrilled with the speed of the fundraise and due to the high level of interest have decided to let the pitch ‘overfund’, which means that we will release further equity in the business at the same valuation”.
Craig Peterson, chief operating Officer of Growth Capital Ventures added: “The financial services sector is changing massively and technology is the catalyst.
“We’re now seeing a new generation of FinTech businesses that are driving exponential growth, including online platforms such as our very own GrowthFunders.”
“One of the main factors in conducting a successful crowdfunding campaign is to make sure you generate excitement and interest within your own network, prior to going live.
These people know you and trust you to build the best business you can. “Anchoring” the fund raise in this way gives other investors more confidence to invest as it’s a great show of trust from your network.
“We’re delighted with the support we’ve received and would like to thank everyone who’s been a part of our journey to this point and want to join us in our future plans. This is just the start.”
Growth Capital Ventures aims to use the investment to introduce further platforms, which will focus upon the rapidly-growing peer to peer lending and currently-untapped infrastructure investment marketplaces.