The Seedrs Story
Seedrs is Europe’s fastest growing equity crowd funding platform. This articles seeks to analyze the statistics behind the platform.
It has about 17,020 users and funded by 27 campaigns. The total amount funded is 1,395,525 pounds. It was revealed that the average post-money valuation of funded SEIS start ups was 429,050 pounds. With 23 SEIS and 3 EIS, the average post money valuation of funded EIS start up was 1,261,496 pounds.
On the average, the equity offered by funded start ups is 14.6% with 15 hours as the fastest funding time, 28 days as the average funding time and 92 days as the longest funding time. The number of investors per funded startup were 15 at the fewest, 70 on the average, and 192 as the maximum. The maximum amount raised per funded campaign is 150,000 pounds, The average amount is about 51,686 pounds while the lowest is 9,500 pounds.
The youngest investor is 18 years old, the average investor is 49 and the oldest is 85 years old. With the gender being 87% for male and 13% for female, the top five cities for investments are:
The number of investments per investors is 3 and they have the desire to start the business and keep it afloat. Research has revealed that 51% have not invested in a business start up before.
Mikes Fancy Cheese is based in Ireland. It was started by Michael Thompson and he raised 80,000 pounds with 40% equity in 34 campaign days. The number of investors were 98.
The top reasons why investors invest in start-ups are:
1. The zeal to float a new business.
2. The hopes and aspirations of making some financial returns.
3. Having access to SEIS tax relief.
Industry Funded Startups
Art, Music, and Design. E-Commerce Ad Markets, Education, Environment, and Clean Tech. Fashion and Apparel, Finance, Food and Drink, High Technology, It and Telecom, Leisure, Sports and Travel, Manufacturing, Media and Entertainment, Property Social, and Collaborative.
In the very words of an investor names Jan R, he says, “…In my opinion, equity crowd funding will effectively become a mainstream investment vehicle within the next five to 10 years and seedrs is leading the way.”
Research revealed that the youngest entrepreneur that was funded was 22 years old, the average age was 38, and the oldest was 57. They were made up of 24 males and 3 females. The largest number of investment in a single portfolio was 41.
Swogo is based on London. It was founded by Anthony Ng Monica. Start-up boot camp was in 2013, 3rd round raised 70,000 pounds with 3.5% equity in a 2 day campaign with 15 investors.
Somethingindie is based in London, founded by Wendy Van De Weg, raised 20,000 pounds with 10% equity in a 72 day campaign with 67 investors.
PixelPin is located in Bath. Founded by Geoff Anderson, raised 150,000 pounds with 10% equity in a 33 day campaign with 192 investors.
In the words of Robbie E., an investor, “For all I know, I could be put a small amount in the next Facebook or Google and be a shareholder right from the start.
Top Benefited Cities
1. New Townards
9. Greater London
10. Hertford Shine
The total number of completed campaigns were 193 of which 14% were funded.
Statistics revealed that 10 pounds was the smallest investment made during funded campaigns, 100 pounds was the median investment, 631 pounds was the average investment and 65,070 was the largest investment made during the funded campaigns.
According to Gavin J. “I like that seedrs brings together curious types of potential investors, easily and efficiently. Its greatly support entrepreneurs to grow the UK economy.”
Over the years there has been increase in the net investment. in the first quarter of 2012, the investment was about 100,000 pounds, in fourth quarter of 2012 it was just under 300,000 pounds. In the first quarter of 2013, it was about 500,000 while in the second quarter of 2013, it stood at 800,000.
Investment Per Amount
For investments between 10 and 49 pounds, there was 458 investors, between 50 to 99 pounds there were 358 investors. Between 100 and 499 pounds there were 1047 investors and between 500 and 999 pounds, there were 314 investors. Between 1000 and 4999 pounds, there were 310 investors, and for over 5000 pounds there were 77 investors.
Top Three Things Investors Look for In Investments
89% of investors look for the idea, 59% examine the team while 39% are interested in the monetization strategy.
Investments Per Investor
Based on a survey response of 2012, for each investor, there is a 579 pounds investment. For 2 investors, there is a 153 pounds investment, for 3 investors, there is a 82 pounds investment, for 4 investors, there is a 54 pounds investment for every 5 investors there is a 31 pound investment for over 6 investors, there is a 205 pound investment per investor.
Seedrs is a platform for the discovery of great start ups. It is made so simple so investors can invest as small as 10 pounds and investors are allowed to raise up to 150,000 pounds from friends, family, and relatives.