Crowdstacker mulls fundraise in fourth quarter
Crowdstacker is considering a fundraise in the fourth quarter of the year, as it plans to grow the business and launch new products.
It comes after peer-to-peer lending and crowd bond platform narrowed its losses and grew its revenue last year, despite “an uncertain economic climate”.
In its annual accounts for the 12 months to 31 March 2022, chief executive Karteek Patel said a core focus of the business has been “to reinforce and restructure the business to ensure it can remain competitive and to begin to grow the business over the course of the next twelve months.”
“During the financial year, we were impacted by an uncertain economic climate but to counter this impact, we have remained prudent on expenditure,” Patel added.
“To supplement our financial resources, the group is considering a future raise in Q4 222. The funds will be used to provide a buffer and continue our strategic objectives.”
In the year ending 31 March 2022, Crowdstacker saw its turnover grow to £457,298, up from £422,462 the previous year.
Losses for the financial year amounted to £172,377 – down from £206,983 the year before.
“Over the past financial year the business has continued to focus on two key objectives – securing the best outcome to those investors who used the platform to invest in businesses, and to reinforce and restructure the business to ensure it can remain competitive and to begin to grow the business over the course of the next twelve months,” said Patel.
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“The first of these, securing the best outcome for investors, has involved working to secure repayments of loans outstanding through various actions.
“The second of those reinforcing and restructuring the business has involved continuing to bring services in-house and developing new products. We continue to develop our own bespoke client money management system and develop our platform to provide efficiencies.
“We have also implemented out strategy to reinvigorate our P2P lending by offering a wider selection of slightly smaller investments.
“We have launched a number throughout the year and the take up has been good from both borrowers and lenders.
“We continue to develop the product range with a healthy pipeline developing.”
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