News Briefing - Crowdfunding, SME And Alternative Finance

holiday crowds on Blackpool beach

1. UK – FinTech/Real Estate 

UK Tech News reports: 

“A London-based PropTech startup Mashroom, which delivers an end-to-end automated lettings and property management service, has raised 4m GBP from BBB’s Future Fund and current investors, bringing their total funding to £7 million. 

Mashroom goes beyond the tenant-finding service and incorporates the entire rental lifecycle all under one roof, from property advertising, arranging viewings, credit history checks, maintenance, to end of tenancy, and handling potential disputes between landlords and tenants. 

The self-service platform enables landlords to list their property and for tenants to rent it easily. The whole process including time spent on credit and reference checks can take less than 2 hours, as the platform also allows to sign rental agreements and renew contracts online in just a few clicks.” 

2. UK – FinTech 

AltFi reports: 

“As Nick Ogden’s brainchild RTGS Global, a new real-time domestic gross settlement platform, gears up for stage one of its launch, the group has announced a host of new board members. 

First to join are Phil Kenworthy, ex-CEO of CHAPS (the UK’s Clearing House Automated Payment System), and Dr Ruth Wandhöfer, a partner at Gauss Ventures. 

The duo join recently appointed RTGS Global executive director and former Citigroup EMEA boss Jim Cowles, with the company saying that more advisory board appointments are due “to be revealed in the coming weeks”. 

3. UK - FinTech 

AltFi reports, the news that there’s no negative impact from Covid-19 at Starling Bank: 

“In the wake of Covid-19 digital challenger bank Starling has seen its annualised revenue run rate increase by over 370 per cent, to £80m, with CEO Anne Boden now saying that profitability is back on track for 2020. 

The sharp increase has been led by huge jumps in retail account numbers and a more than doubling of Starling’s business accounts to over 200,000, with the bank now boasting over 1.5m accounts in total. 

Given the sharp changes of the last six months, Boden today published an interim trading update covering the last eight months, along with Starling’s full 2020 annual report which covers the 12 months to November 2019. 

The bank said that the last few months had been “transformational” for the business, leading it to publish these additional figures.”  


4. US – FinTech 

Crowdfundinisder on a US play to allow investors to get exposure to music royalties: 

“Reg CF (Regulation Crowdfunding) is the smallest securities exemption available to issuers in the US for crowdfunding. A company raising capital under Reg CF may raise up to $1.07 million from both accredited and non-accredited investors – although the Securities and Exchange Commission is considering raising the funding cap to a more workable amount – perhaps $5 million or more. 

A platform listing these securities must be a FINRA approved funding portal or a broker-dealer. As the Reg CF sector of online capital formation has evolved in the past few years – some platforms have targeted specific sectors of securities. Bumper Collective is a funding portal that is looking to match investors with opportunities to generate gains from royalties – payments for the rights to play a song or stream video.” 


5. US – FinTech 

Finextra reports: 

“Intercontinental Exchange has agreed to buy Ellie Mae from Thoma Bravo in a deal that values the mortgage finance software outfit at around $11 billion. 

The move, which comes after ICE's recent acquisitions of Mers and Simplifile, establishes the Nyse owner's position in the trillion dollar residential mortgage industry.

Founded in 1997 to automate and digitise the mortgage sector, Ellie Mae provides technology services to all participants in the mortgage supply chain, including its over 3000 customers.”