CapitalRise raises more than £1m in Seedrs campaign to access future fund

CapitalRise has raised more than £1m on equity crowdfunding platform Seedrs that will allow it to access the government’s future fund.

The fund, which launched at the end of May, offers convertible loans ranging from £125,000 to £5m from the government subject to at least equal match funding from private investors.

The property lending platform has raised £1.15m in a crowdfunding campaign on Seedrs that will allow it to get matched funding through the future fund.

The platform said proceeds will be used to expand its product range, including the launch of a self-invested personal pension wrapper.

It will also increase its marketing efforts, and expand its loan origination, marketing and investor relations teams.

Read more: Chancellor expands the future fund

“We have seen a surge in demand from customers in the past six months,” CapitalRise said in its crowdfunding pitch on Seedrs.

“Borrower demand has increased as our brand recognition grows.

“We saw an 80 per cent increase in loan applications in the second quarter of 2020 versus last year and our loan pipeline is very strong.

“Investor appetite is equally strong.

“The appeal of our product has increased, aided by volatility in equities and bank interest rates at record lows.”

Another alternative lender, Assetz Capital, is also looking to raise more than £1m through Seedrs to be matched with the future fund.