InvestEngine, a London-based investment platform, has raised more than £1.5m in an equity crowdfunding raise.
Around 1,200 individuals participated in the raise via crowdfunding platform Crowdcube, more than doubling InvestEngine’s £700,000 target.
InvestEngine’s first public fundraise, which was shared exclusively with UKTN, took place over eight days.
InvestEngine’s commission-free platform provides a range of investment accounts, including tax-free ISAs and a business account.
Investors can build their own portfolios without incurring fees or invest in managed portfolios, which have a management fee of 0.25% per year.
The company, which was set up by Gumtree co-founder Simon Crookall and Andrey Dobrynin in 2019, has more than 11,000 customers with total assets of £75m.
InvestEngine CEO and co-founder Andrey Dobrynin said the company will use the fresh capital to “invest heavily in further developing our unique platform and significantly accelerate marketing spend across key channels”.
The shares sold by InvestEngine have received approval under the government’s Enterprise Investment Scheme. This gives investors up to 30% income tax relief and lets companies raise up to £5m each year.
In July last year, InvestEngine launched its DIY Platform to give investors tools to create and stick to their own strategy.
InvestEngine co-founder Simon Crookall said: “We’ve been blown away by the success of our crowdfunding, raising more than £1.5m in just 8 days — over double our original target of £700,000.”
“The popularity of what is our first public fundraising is testament to the scale of the opportunity in ETF investing. With global ETF assets soaring $1tn last year and forecast to grow 17% annually by 2026, we are in the right space with the right platform.”