May saw an increase in investment activity at Crowdcube, with investment reaching a lockdown high of £15.2m, more than double the amount in March when the pandemic was declared. The number of funded businesses topped 20 while investments also spiked to more than 23,000 during May; three times the number of investments in March.
The company has completed 60 successful raises since the beginning of March, with companies like Chip, which raised £2.5m solely from its community of existing shareholders from previous rounds with Crowdcube https://www.crowdcube.com/explore/blog/investing/chip-sees-record-crowdfund-and-strong-growth-despite-current-economic-crisis and Freetrade, which raised £7m from over 8,500 people in a record-breaking raise https://www.crowdcube.com/explore/blog/investing/freetrade-closes-7m-crowdfunding-round-that-defies-covid-19-lockdown. But it’s not just fintech that is flying high, Crowdcube has helped startups and scaleups from healthcare and cleantech to apparel, such as Medic Bleep, Clim8, Pawprint and Common Objective raise over the past three months.
Luke Lang, co-founder and CMO of Crowdcube commented: “The upward trend since March, when many entrepreneurs were focused on responding to Covid-19, is welcomed, especially given the continued level of uncertainty right now. What is clear from the data, is that communities and customers are rallying around businesses they believe in, and as more businesses begin to fundraise again, this is driving the resurgence in investment we witnessed in April and May.”