Challenger bank to let customers invest before launch

Challenger bank to let customers invest before launch




A new challenger bank set to launch this year has opened up its next round of investment to customers.

A new challenger bank set to launch this year has opened up its next round of investment to customers.

Mondo has launched a £6m fundraiser with £1m ring-fenced for 'everyday investors' who can take part in a Crowdcube campaign when it launches on 1st March.

£5m has already been committed by venture capital firm Passion Capital.
 
Any investor who pre-registers on the bank’s website will gain access to the campaign 24 hours earlier.

Tom Blomfield, CEO at Mondo, said: "We've been called a bank for people who hate banks.

"Early on, we decided that openness and transparency was the only way to ensure that Mondo was solving real customer problems.

“Our early users have helped us shape the bank as it's grown and we're enormously grateful for their help.

“Now we want to give them a chance to own part of the bank that they've helped to build."

Passion Capital has previously invested £2m in the start-up bank last year.

Eileen Burbidge, Partner at Passion Capital, said: "Mondo is Passion Capital's single largest investment and we're delighted to be supporting Tom and the team as they tackle a market that's an order of magnitude larger than that of most other companies.

“Consumer expectations have shifted - they expect to be able to do everything from their mobile in a matter of seconds.

“We're very excited that Mondo will bring that experience to banking."

Mondo, which is waiting for its UK banking licence and expects to be fully authorised during 2016, says it will use the money to launch publicly later this year. 

1,500 people are currently testing its services and 30,000 are registered on its waiting list to open an account.

Luke Lang of Crowdcube said: "Mondo is disrupting the finance world through its smart use of technology and by leveraging the power of people to help build a bank that everyone can love.

“We're delighted they chose Crowdcube for this funding round."
 

 

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