Payment software start-up closes £140k in first tranche of funding round
Manchester-based Collctiv, a group payment app which allows friends and family to collect money together seamlessly, has secured a £140,000 co-investment from GC Angels.
The app was first launched in September 2019, and has so far registered more than 3,200 users.
This includes overseas users, with eight per cent of all transactions coming from the US.
It enables friends and family to send money to each other or collect multiple sources into a pot.
These pots can be used for a variety of reasons, including holiday bookings, charity donations, and have even been used for online gaming tournaments with friends.
Each pot can have a target amount of money or a date deadline set.
Numerous users have reported that they have used Collctiv for charity donations to frontline NHS staff during the COVID-19 pandemic, while other users have received payments from elderly neighbours, who are self-isolating, for their weekly food shopping.
Collctiv was recently named the fundraising partner for the #LocalLegends initiative, which aims to raise money for frontline NHS staff in the North West of England.
The campaign is being spearheaded by the award-winning theatre company, NotTooTame, and is being endorsed by a number of Northern actors and celebrities.
The company has also recently launched the #SaveOurSports campaign, which aims to raise money for grassroots sports teams and clubs by encouraging kids and adults to get creative with sports day activities in their back gardens and homes.
Amy Whitell, chief executive and co-founder of Collctiv, is one of three Manchester start-ups which has helped organise the National Sports Day for adults and children on May 8, this year.
While these initiatives are expected to grow the platform’s user base, the investment provided by GC Angels will allow Collctiv to build out its technology and improve it further.
The company is also looking to ramp up its marketing spend to entice more users to the platform.
Amy Whitell said: “There has always been an element of awkwardness when trying to gather money from friends for expensive group bookings – we wanted to introduce a platform that would remove the burden from individuals and make their lives easier.
“As we move closer towards a cashless society, we believe that exchanging money between friends and family should be a completely seamless process, which is why the average Collctiv transaction takes only 10 seconds.”
She added: “GC Angels has supported us at the perfect time, as we are looking to build on our app to deal with the growing number of users we’ve welcomed on to our platform in the last eight months.
“We have recently enjoyed our second best month to date for volume of transactions handled, which demonstrates how well our platform is being received by our users.
“We have been inspired by our customers’ stories of how they are using the app for good during the pandemic, and we hope to continue to see Collctiv used as a tool for such great causes.”
Jessica Jackson, investment director at GC Angels, said: “As a specialist social impact lender, this is exactly the type of company that GC Angels looks to support.
“Collctiv has used its platform for good and strived to help those that are struggling in difficult situations, meaning it has truly set an example for other Manchester start-ups to follow.
“GC Angels is proud to back the business, and we are confident that Amy and her team will continue to go from strength to strength.”