Fintech firm seeks to raise £300k to expand its app and headcount
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Collctiv, a Manchester-based group payment app which allows people to collect money together seamlessly, aims to raise £300,000 of new funding to finance further growth.
It will take the company to £500,000 of support, having secured a £200,000 co-investment from GC Angels in April 2020.
So far, Collctiv has processed more than £3m in group payments from 55 countries in 37 currencies, and surpassed £110,000 in turnover ahead of its latest funding round.
Collctiv enables social organisers to easily collect money from their groups of friends or family.
These money pools can be used to pay for a variety of products and services, such as gifts, hen and stag parties, and group holiday bookings.
Launched in September 2019, the app has experienced a surge in demand during the pandemic as people looked for easy ways to collect money in an increasingly cashless world. This demand has grown even further in recent weeks following PayPal’s announcement of the closure of its Money Pools service.
The Collctiv team has grown since the initial investment, from three in April 2020, to 13 in August 2021. Nine of these are full time, including three that were recruited through the Government’s Kickstart Scheme, with Collctiv passionate about employing a diverse range of people.
The second funding round will be used for the next stage of development of the app, making it even easier for groups of friends to meet up again as the pandemic restrictions lift, as well as to further fuel the growth the team is already seeing.
Amy Whitell, CEO and co-founder, said: “The growth of Collctiv over the last two years has been incredible. The pandemic has accelerated the move towards a cashless society, and our app ensures that exchanging money between friends and family is as easy as possible.
“We’re committed to creating tech that is super accessible and easy to use, and that’s reflected in our customer base, ranging from online gaming tournaments to a 90th birthday.”
She added: “Working with GC Angels in 2020 was great for Collctiv, and I don’t believe that we would be in such a strong position now without the support of Jess and the other investors. We’ve already seen how beneficial the investment has been for our business, which is why I’m excited to say that we are in the middle of another fundraise, which is already close to being fully subscribed and will propel our business even further.”
Jess Jackson, head of investment at GC Angels, said: “We invested in Collctiv just before the pandemic. To see the impact of the investment on the business as we now emerge is really exciting.
“Amy is an inspirational founder and exactly who we love to work with – Collctiv is a tech platform truly making a difference. We can’t wait to see where they go next with this new fundraise.”