Seedrs
{{Short description|Equity crowdfunding platform}}
{{Use dmy dates|date=April 2017}}
{{Use British English|date=February 2013}}
{{Infobox company
| name = Seedrs Limited
| logo = Seedrs Crowdfunding Logo 2013.png
| logo_caption =
| logo_upright =
| logo_alt =
| type = Subsidiary
| industry = Crowdfunding
| founded = {{Start date and age|2009|03|16|df=y}}
| founders = Jeff Lynn, Carlos Silva
| defunct =
| fate =
| hq_location_city = London
| hq_location_country = United Kingdom
| area_served = UK, Europe
| key_people = Jeff Kelisky (CEO)
| products =
| num_employees =
| num_employees_year =
| parent = Republic
| website = {{Official website}}
}}
Seedrs Limited is an online equity crowdfunding company, headquartered in East London's Tech City, founded in 2009{{Cite web |title=Seedrs Limited |url=https://find-and-update.company-information.service.gov.uk/company/06848016 |website=Companies House |access-date=27 August 2022}} and launched by Jeff Lynn and Carlos Silva in 2012.{{Cite news|last=Silver|first=James|date=2012-07-07|title=East London's 20 hottest tech startups|language=en-GB|work=The Guardian|url=https://www.theguardian.com/uk/2012/jul/08/east-london-20-hottest-tech-companies|access-date=2020-06-04|issn=0261-3077}}{{Cite web|title=Just some of the investors you'll run into at #TheEuropas, June 13, London|url=https://techcrunch.com/2017/05/24/just-some-of-the-investors-youll-run-into-at-theeuropas-june-13-london/|access-date=2020-06-04|website=TechCrunch|date=24 May 2017 |language=en-US}} Since 2022 it has been a subsidiary of American crowdfunding company Republic.
In 2020, Seedrs announced that 250 startups had raised funding through its crowdfunding platform during 2019.{{Cite web|date=2020-01-06|title=Seedrs says amount invested on its platform jumped 49 per cent in 2019|url=https://www.cityam.com/seedrs-says-amount-invested-on-its-platform-jumped-49-per-cent-in-2019/|access-date=2020-06-04|website=CityAM|language=en-GB}}{{Cite web|title=Fintechs help deals on Seedrs jump nearly 50 percent|url=https://www.altfi.com/article/6055_fintechs-help-deals-on-seedrs-jump-nearly-50-percent|access-date=2020-06-04|website=AltFi|language=en}} By 2022, Seedrs reported that over £1.9{{nbsp}}billion had been invested through the company.{{cite web |title=Republic – Seedrs Ramp Up Cross-Listed Securities Offerings |url=https://www.crowdfundinsider.com/2022/06/192420-republic-seedrs-ramp-up-co-listed-securities-offerings/ |website=Crowdfund Insider|date=16 June 2022 |access-date=27 August 2022}}
History
The company was founded in 2012 by Jeff Lynn and Carlos Silva as part of an MBA project at the Saïd Business School at the University of Oxford.{{Cite web |title=New Oxford Saïd research to study the economics of equity crowdfunding |url=https://www.sbs.ox.ac.uk/school/news/new-oxford-said-research-study-economics-equity-crowdfunding |access-date=2018-08-02 |website=Saïd Business School |language=en}}
In March 2012, Seedrs raised $1 million in seed funding from private investors including venture capital firm Draper Esprit.{{Cite web|last=Russell|first=Jon|date=2012-07-06|title=Seedrs Launches in the UK, Allowing Anyone to Invest in a Startup|url=https://thenextweb.com/insider/2012/07/06/now-anyone-in-the-uk-can-be-an-early-stage-startup-investor-as-seedrs-launches/|access-date=2020-06-04|website=The Next Web|language=en-us}}
In May 2012, Seedrs became the first equity crowdfunding platform to receive regulatory approval from the Financial Conduct Authority.{{cite news |last= |first= |date=18 August 2012 |title=FSA warning over crowdfunding sites |newspaper=The Independent |url=https://www.independent.co.uk/news/business/news/fsa-warning-over-crowdfunding-sites-8057324.html |access-date=20 August 2012}}
In July 2012, Seedrs launched its platform to the public.{{Cite web|title=Eating Its Own Caviar, UK Equity Crowdfunding Platform Seedrs To Crowd-Raise £500K As It Expands To Europe|url=https://techcrunch.com/2013/11/24/seedrs-eats-own-caviar/|access-date=2020-06-04|website=TechCrunch|date=25 November 2013 |language=en-US}}
In November 2013, Seedrs raised £750,000 in funding through its own platform.{{Cite news|last=Sparkes|first=Matthew|date=2013-11-25|title=Crowdfunding start-up Seedrs raises £750,000 through its own website|language=en-GB|url=https://www.telegraph.co.uk/technology/news/10472305/Crowdfunding-start-up-Seedrs-raises-750000-through-its-own-website.html|access-date=2020-06-04|issn=0307-1235}}
In June 2015, professional tennis player Andy Murray joined Seedrs in an advisory role, having previously used the platform as an investor.{{Cite news|last=Dann|first=Kitty|date=2015-06-08|title=Andy Murray joins crowdfunding firm Seedrs|language=en-GB|work=The Guardian|url=https://www.theguardian.com/small-business-network/2015/jun/08/andy-murray-crowdfunding-firm-seedrs|access-date=2020-06-04|issn=0261-3077}}{{Cite news|last=Sweney|first=Mark|date=2015-08-19|title=Andy Murray uses crowdfunding firm to invest in UK startups|language=en-GB|work=The Guardian|url=https://www.theguardian.com/sport/2015/aug/19/andy-murray-uses-crowdfunding-firm-to-invest-in-uk-startups|access-date=2020-06-04|issn=0261-3077}}{{Cite news|agency=Press Association|date=2017-05-15|title=No1 Seedr? Andy Murray backs more UK startups|language=en-GB|work=The Guardian|url=https://www.theguardian.com/technology/2017/may/15/no1-seedr-andy-murray-backs-uk-startups|access-date=2020-06-04|issn=0261-3077}}
In June 2017, Seedrs launched a secondary market, becoming the first equity crowdfunding platform to allow investors to buy and sell shares in unlisted companies.{{Cite web|date=2017-05-08|title=Start-ups might be about to receive a boost after Seedrs announces launch of secondary market|url=http://www.independent.co.uk/Business/indyventure/seedrs-announces-secondary-market-launch-equity-crowdfunding-investment-boost-start-ups-investors-a7724416.html|archive-url=https://web.archive.org/web/20170511095526/http://www.independent.co.uk/Business/indyventure/seedrs-announces-secondary-market-launch-equity-crowdfunding-investment-boost-start-ups-investors-a7724416.html|url-status=dead|archive-date=11 May 2017|access-date=2020-06-04|website=The Independent|language=en}}{{Cite web|title=Seedrs lifts cap on size of share lots in shakeup of its secondary market|url=https://www.altfi.com/article/6240_seedrs-lifts-cap-on-size-of-share-lots-in-shakeup-of-its-secondary-market|access-date=2020-06-04|website=AltFi|language=en}}{{Cite web|last=CNBC.com|first=Neil Ainger; Writer at|date=2017-05-08|title=Seedrs to launch secondary market for crowdfund investors|url=https://www.cnbc.com/2017/05/08/seedrs-to-launch-secondary-market-for-crowdfund-investors.html|access-date=2020-06-04|website=CNBC|language=en}}
In August 2017, Jeff Lynn stepped down as CEO to take up a position as Executive Chairman. Former COO Jeff Kelisky was promoted to CEO.{{Cite web|title=CEO switch for equity crowdfunder Seedrs|url=https://www.altfi.com/article/3346_ceo_switch_for_equity_crowdfunder_seedrs|access-date=2020-06-04|website=AltFi|language=en}}{{Cite web |date=2017-08-31 |title=Jeff Lynn steps down as CEO of Seedrs to become executive chairman |url=https://startups.co.uk/young-guns/jeff-lynn-steps-down-as-ceo-of-seedrs/ |access-date=2020-06-04 |website=Startups.co.uk |language=en}}
In August 2017, Seedrs raised £4 million investment for challenger bank Revolut.{{Cite news|last=O'Halloran|first=Barry|title=Andy Murray among Revolut investors on Seedrs|url=https://www.irishtimes.com/business/financial-services/andy-murray-among-revolut-investors-on-seedrs-1.3171610|access-date=2020-06-04|newspaper=The Irish Times|language=en}}{{Cite web|title=Revolut's $5.3 million crowdfunding campaign is oversubscribed|url=https://techcrunch.com/2017/07/30/revoluts-53-million-crowdfunding-campaign-is-oversubscribed/|access-date=2020-06-04|website=TechCrunch|date=30 July 2017 |language=en-US}}
In October 2017, Seedrs announced it had raised £10 million in funding.{{Cite web|last=Bounds|first=Andy|date=2017-12-17|title=Crowdfunding a mission to save capitalism from itself|url=https://www.ft.com/content/d39e01ca-cbc6-11e7-ab18-7a9fb7d6163e |archive-url=https://ghostarchive.org/archive/ZcmyZ |archive-date=4 March 2023 |url-access=subscription |url-status=live|access-date=2020-06-04|website=FT.com}}{{Cite web|title=Seedrs valued at £50m after crowdfunding raise|url=https://www.businesscloud.co.uk/news/seedrs-valued-at-50m-after-crowdfunding-raise|access-date=2020-06-04|website=BusinessCloud.co.uk|date=4 October 2017 |language=en}}
In December 2018, Seedrs launched a venture capital fund aimed at passive startup investors.{{Cite news|last=Evans|first=Peter|title=Seedrs serves start-up fund|newspaper=The Times |language=en|url=https://www.thetimes.com/business-money/article/seedrs-serves-start-up-fund-tb8qn79ww|access-date=2020-06-04|issn=0140-0460}}
In August 2019, Seedrs raised £4.5 million in funding.{{Cite web|last=Alois|first=J. D.|date=2019-08-30|title=Seedrs Confirms £4.5 Million Funding Round, Larger Raise to Follow. Seedrs Users May Gain Access to Round|url=https://www.crowdfundinsider.com/2019/08/151087-seedrs-confirms-4-5-million-funding-round-larger-raise-to-follow-seedrs-users-may-gain-access-to-round/|access-date=2020-06-04|website=Crowdfund Insider|language=en-US}}
In 2020, Seedrs and Crowdcube agreed to a merger.{{Cite news|last=Butcher|first=Mike|date=5 October 2020|title=Crowdcube and Seedrs agree to merge, creating a significant private equity marketplace|work=TechCrunch|url=https://techcrunch.com/2020/10/05/crowdcube-and-seedrs-agree-to-merge-creating-a-significant-private-equity-marketplace/|access-date=8 March 2021}} This was abandoned on 25 March 2021 after the Competition and Markets Authority raised concerns about the deal.{{Cite news|last=Lynn|first=Jeff|date=25 March 2021|title=Seedrs Terminates Merger with Crowdcube, Announces New Funding Round|work=Seedrs|url=https://www.seedrs.com/learn/blog/seedrs-terminates-merger-with-crowdcube-announces-new-funding-round|access-date=28 March 2021}}
In December 2021, Seedrs announced that it had agreed to be acquired by Republic, a US-based equity crowdfunding platform, for $100 million.{{cite web |last1=Butcher |first1=Mike |date=1 December 2021 |title=Republic acquires the UK's Seedrs in $100M deal to push into Europe |url=https://techcrunch.com/2021/12/01/republic-acquires-the-uks-seedrs-in-100m-deal-to-push-into-europe/ |access-date=18 April 2022 |website=TechCrunch}} The acquisition was criticised by some of Seedrs' small investors over preferential treatment given to large shareholders.{{cite news |last1=Hurley |first1=James |date=8 December 2021 |title=Seedrs sale to Republic a betrayal, say small backers |work=The Times |url=https://www.thetimes.com/business-money/companies/article/seedrs-sale-to-republic-a-betrayal-say-small-backers-2klc9hvjn |url-status=live |url-access=subscription |access-date=15 November 2022 |archive-url=https://archive.today/20211208175139/https://www.thetimes.co.uk/article/seedrs-sale-to-republic-a-betrayal-say-small-backers-2klc9hvjn#selection-735.0-735.53 |archive-date=8 December 2021}}
References
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