Its the 38th time that a company has secured more than 1m on Crowdcube and that, coupled with goHenrys success, has encouraged the investment platform who call for the EU to lift the 5m limit imposed on crowdfunded investments.
“We are leading a charge to convince the EU to raise its limit on the amount of finance that any business can raise without a prospectus. If the 5 million Euro limit was lifted, goHenry could have raised significantly more investment to help it expand into Europe, preparing millions of children for a cashless digital future,” said Darren Westlake, co-founder and CEO of Crowdcube.
goHenry, which raised 3.99m, has a digital banking offering designed to educated kids about money management. Built by parents, the business has over 200,000 members and 10,000 people joining each month.
Children are given a prepaid debit card and access to an app, both of which teach financial lessons while relieving parents of fears when it comes to bills and spending of allowance and pocket money.
Westlake added: goHenry is the latest in a wave of innovative fintech firms that are disrupting parts of the financial services sector and raising finance on Crowdcube. There is no doubt that crowdfunding is no longer alternative, with more established and growth-stage businesses turning to us to raise larger sums, often as part of Series B fundraises.
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goHenrys capital was provided by 2,371 investors 1,200 of which are existing customers for a 15.98 per cent equity in the company. The funding will enhance UK growth, while expanding to 25 million children across Europe.
“Were delighted to give the parents that love our product a chance to be a part of our future success too. We are a business that was built by parents so it’s only natural that it continues to be owned, managed and grown by parents as well,” said Louise Hill, co-founder and COO of goHenry.
As our economies become increasingly cashless, and as purchasing moves online, children need to be able to manage their money in a digital age. The many parents who use goHenry feel it’s important that they have a tool that enables them to empower their children to learn good money habits early on to earn responsibly, to develop good saving habits and to spend safely.
Before it was dethroned by goHenry, JustPark had secured the largest investment on Crowdcube with 3.5m secured back in March 2015.
Real Business spoke with founder Anthony Eskinazi at the time, who said of the milestone: We had what I feel was the perfect cocktail of big well known investors in BMW and Index, combined with a loyal user base, a product that tries to solve emotive problem, so we had all the ingredients. Some campaigns only have a few of those and can only raise so much.
The top ten raises on Crowdcube by amount are:
(1) goHenry 3.99m
(2) JustPark 3.5m
(3) Sugru 3.38m
(4) Chilango 3.37m
(5) BrewDog 3.1m
(6) 1Rebel 2.9m
(7) Camden Town Brewery 2.7m
(8) eMoov 2.6m
(9) Pocket 2.5m
(10) WITT Energy 2.3m