An app designed to reduce insurance costs for motorists will be launched following a successful crowdfunding campaign.
The honcho team closed the investment window early following the huge support received for its proposition.
The team at honcho approached the crowd-funding platform CrowdCube in late November to offer UK drivers and investors the chance to take a stake in the company, after EU funds allocated to support the launch were put on indefinite hold.
A conditional investment of £150,000 was made from the Finance Durham Fund, managed by Maven Capital Partners, pending a successful crowdfunding campaign.
By the 5th January and with nine days of the campaign remaining, the £650,000 target had been reached. The final amount raised stands at £850,000 following investments from 713 CrowdCube investors.
Gavin Sewell, CEO at honcho, comments: “We are delighted to have raised significantly more than our target and to now be able to make progress on the next phase of the honcho project. The support we have received since the launch of the crowdfunding campaign has been phenomenal and we are thrilled to have secured investment from numerous CrowdCube investors, including one of the UK’s most active private equity houses and SME finance providers, Maven Capital Partners.
Frank Speight, commercial director at honcho added: “The honcho campaign has been successful in not only reaching, but exceeding its initial target investment by a third – securing a total of £850,000, with funds from 713 investors.
“In addition, thanks to the exposure generated by the capital raising exercise, several new insurers and brokers have contacted us with a view to participating in the honcho initiative.”
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