Crowdfunding - We're back!

Wrisk return to Seedrs for new a crowdfunding campaign.

Mar 5, 2019
Crowdfunding

Over the past two years, more than 1,000 people from across 27 countries have invested in Wrisk through crowdfunding. This community has been supporting our mission to change insurance, and we’re delighted to be back crowdfunding, this time for Wrisk’s Series A.

2017 Round 1: £500k target reached in just 5 days and overfunded to £600k

2018 Round 2: £500k target met in under 2 days and overfunded to £1 million

So why a Series A, and why now? 
As we outlined last year, we’ve always planned on raising our Series A in spring 2019, and this is exactly what we’re doing. The ‘Series A’ investment is a core milestone in the journey of a startup. It marks a key turning point, at which a capital injection can propel a business from upstart to major player. And we believe we’re ready for it! Here’s why. Since our crowdfunding round in Summer 2018, we have:

  1. Launched Wrisk to the UK App Store (rated 4.9*)
  2. Delivered our first car insurance product with BMW/MINI
  3. Invested in our team and product

Wrisk is now an active and growing business, with two products and real customers who are validating the offer we’ve worked so hard to develop.

What will the investment go towards?
Our roadmap for 2019 is packed and our ambitions are bigger than ever. Our plans include:

  • Continuing to work with and develop products for BMW/MINI
  • Launching a new insurance product
  • Building new long-term partnerships to increase our distribution
  • Growing adoption of Wrisk to become a recognised name in insurance

Wrisk has a big agenda. There’s a world of opportunity out there, and this round will allow us to seize it.

But why crowdfund again? Isn't there easier ways to get the money?
Sure, there are, but easiest isn’t always what’s right or best! The crowd (we’re looking at you here) has been fundamental to our success so far. You’ve spread the word and you’ve opened doors. Along with our early customers, you’ve given us feedback to help us shape and improve our products. You’ve been instrumental in getting Wrisk to where it is today. 

We also know that many people missed out on the previous rounds, and hope this crowdfunding round will give our customers and supporters the chance to continue to be part of Wrisk’s success.

Register your interest today to be one of the first to gain priority access to our campaign ahead of public launch.

What is crowdfunding?
Crowdfunding is a way of raising finance by asking a large number of people each for a small amount of money.

The idea of crowdfunding flips the traditional model of raising finance on its head, where a small group of investors are asked for larger sums of money. Instead, through using social media, networks of friends and family, crowdfunding targets a far larger pool of people in order to raise funds.

There are different types of crowdfunding, you may, for example, have sponsored someone to run a marathon or some other challenge, this is known as donation-based crowdfunding. For many start-ups, the most common type used is equity-based crowdfunding. This is where the investor will own a proportion /share of the start-up in return for the money they invest.

The important stuff you need to be aware of...
Whilst many investors are hoping they invest in the ‘next big thing’, investing in start-ups is not without risk.

As with all equity-based investments, there is a chance the value of the investment will go up as well as down, and you might not get back what you originally invested. Typically, start-up businesses are far less liquid than larger companies, meaning, it’s not always easy to get your money out by selling your shares. Dividends are not typically issued and over time your investment may be diluted as additional equity is raised. As a result, you should only consider investing in start-ups if you are happy to invest and potentially not see a return or even lose the money you’ve invested. Finally, as with any type of investment, you should ensure your investments are part of a diversified portfolio. 

This blog has been approved as a financial promotion by Seedrs Limited which is authorised and regulated by the Financial Conduct Authority. Seedrs is targeted solely at investors who are sufficiently sophisticated to understand these risks and make their own investment decisions.

Picture of Wrisk employee Sima Patel
Sima Patel

Drives marketing decisions, seeks her way to solutions creatively and loves to cook

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