Monzo has announced a new £20 million crowdfund campaign to back up a Series E funding that has seen it raise £85 million.

The raise, which will be run on Crowdcube’s funding platform, is set to be the largest crowdfunding offer to date for a UK FinTech. Customers will be able to invest up to £2,000 directly through their app.

The round opens on 3 December for previous investors and 5 December for newcomers to Monzo, as part of the bank’s efforts to maintain the community of customers who have so far raised more than £4 million through crowdfunding campaigns.

In October, the digital challenger bank raised £85 million from venture capital investors General Catalyst and Accel, in addition to existing investors, securing a $1 billion ‘unicorn’ status.

The company said it will use the remainder of the Series E funding to fuel its expansion into new account offerings and develop further in app features for its one million current account customers.

Last week, Monzo announced plans to launch a business account product as part of its strategy to take on challenger bank rival Starling Bank, which started an account for sole traders in June this year.

Monzo has been one of the fastest growing UK FinTechs since it launched in 2015, and claims to have nearly 800,000 active monthly customers, 1 million current accounts and more than 35,000 members on its community forum.

Last month one of the company’s lead engineers told FStech of plans to reach 10 million customers and expand internationally.

Tom Blomfield, co-founder and chief executive of Monzo, said: “We’re excited to be able to give [our customers] another chance to join us on the journey. We’ve loved working with Crowdcube yet again to make it possible for our customers to become investors.”

Luke Lang, co-founder of Crowdcube, said: “Monzo is the third Crowdcube funded business to be valued over $1 billion in the last 12 months and marks another major milestone for Crowdcube and crowdfunding, which has proven it can find and fund the UK's best businesses."

Share Story: