Fintech
Fintech Plum aims for profitability with £16m raise
London-based fintech Plum said it is “well positioned for profitability” following a £16m Series B round split between institutional investors and crowdfunding.
Founded in 2016, Plum is a personal finance app that offers investment accounts, payment cards, and automated tools for saving and managing money.
The most recent accounts from the company, for the year ended 31 March 2022, show the firm lost £8.7m in the period, 60% more than the previous year. Plum’s 2023 accounts are four months late. UKTN has contacted Plum for comment.
However, Plum founder and CEO Victor Trokoudes said the recent introduction of a cash ISA product in the UK and ETFs in Europe had been a significant boost for the startup, which is aiming for profitability.
“The need for a smart app that helps people grow their money throughout their lives has never been greater, and we’re already bringing it to millions of people,” Plum said.
“But we’re not stopping there: we’re focused on what’s next and how we can get even more people to get the most out of their money with Plum.”
The fintech has raised £13.4m from lead investor iGrow Venture Capital, alongside existing investors Venture Friends, Ventura Capital and Eurobank.
“Making savings solutions accessible to everyone, not just high net worth individuals, is a democratization and a revolution in the industry,” said Anastasios Economou, Founding Partner of iGrow Venture Capital.
Plum has raised another £2.7 million in a crowdfunding round via investment platform Crowdcube. More than 5,500 people from the UK and EU participated in the round.
The company’s previous crowdfunding round saw it raise £1 million in just eight hours.
Plum has also received investment from DMG Ventures, the investment arm of media giant the Daily Mail, and General Trust.