UK-based FinTech firm, Freetrade, which portrays itself as the creator of a life savings app, has successfully surpassed its Crowdcube funding target.
The firm has raised an impressive £1.76m, significantly more than the £1m target it initially set, according to a report from Crowdfund Insider.
The funding was garnered from 3,194 investors through the firm’s Crowdcube crowdfunding campaign. Since launching in 2019, Freetrade has amassed more than 1.6m registered users and £1.4bn in assets.
Freetrade offers a modern and user-friendly platform that facilitates investing. The firm’s vision is to build an app that sits on the home screen of users’ devices, becoming the central hub for their life savings.
The newly raised funds will be used to expand the company’s customer base within the UK, extend its reach into Europe, and further develop its product offerings. These are groundbreaking products and features designed to enhance user experience and create more value for customers.
Freetrade reported impressive achievements in the first quarter of 2023, including their highest-ever quarterly revenue of £4.7m. The company also celebrated a record £1.4bn in client assets and a surge in new subscribers. Additionally, they highlighted their five-time win of the British Bank Awards and a Which? Recommended Provider status.
According to the company, they’ve built a customer-centric subscriptions business, leveraging their proprietary technology stack. Since their last Crowdcube campaign, the firm expanded into Europe through Sweden and launched popular features like Autopilot, proxy voting, and annual subscriptions.
Freetrade CEO and founder Adam Dodds stated, “Despite challenging market conditions, we delivered our best revenue quarter yet in Q1’23. We’re focusing on high-quality customers and shipping the features they’re asking for, like mutual funds and tax reporting.”
Previously, Freetrade successfully conducted a crowdfunding campaign, during which it was valued at £650m. However, recently, the company lowered its pre-money valuation by around 65% before its latest funding round, citing the current state of the financial markets as the reason behind the move.
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