27x RETURNS TO EARLY MONZO BACKERS
In 2016 Monzo Bank offered Crowdcube investors the opportunity to buy up to 3% of the business at a £29m valuation.
This was very early on in the journey of what is now one of the UK’s biggest fintechs. At the time they had:
🗒 30,000 people on the waiting list
💳 1,000 cards issued to testers in 50 counties
💷 £5k of revenue
Just under 2000 savvy investors took a punt on Monzo, who now will be very glad they did. Even more investors got involved in their subsequent crowdfunding campaigns in 2017 and 2018.
Monzo recently announced a £500m fundraise which valued the business on a pre-money basis of £3.6bn. This is how much £1,000 of shares would be worth today if you had invested it at each crowdcube campaign:
🚀 2016: £28,054
🚀 2017 (R1): £14,317
🚀 2017 (R2): £6,102
🚀 2018: £1,870
That's £28k from a £1k investment! WILD. 🤯
Investors need to wait for an exit for any gains to be realised but when they do they’re in for a big pay day.
Monzo is expected to report its first annual profit in the coming months, and since their latest round was supposedly their “pre-IPO” round, they may not have to wait too long!
Shoutout to Alex Timmons at Crowdcube for the data and to Jonathan Keeling for suggesting I look into Monzo!
#monzo #startups #founders
This post was originally shared by Seb Johnson on Linkedin.