CapitalRise has closed another funding round through equity crowdfunding campaign platform, Seedrs. The round ended in over £2.2 million, which will go towards CapitalRise's plan to update the process for borrowers so they can raise the capital they need in an easier fashion, while enabling investors to capital "market-leading returns of 8-12% per year from secured lending to prime real estate."
The funding portal was founded by Alex Michelin and Andrew Dunn who founded Finchatton, an international luxury property development firm. According to the company, the pair have developed over £1.2 billion of real estate across 120 transactions with no losses. They have been joined by CEO and Co-founder Uma Rajah a Fintech “pioneer” who was an early employee at Wonga.
CapitalRise revealed that after having lent over £25 million against over £270 million of property assets in locations such as Mayfair, Knightsbridge, and the Home Counties. The company states that demand for finance remains “robust with a record c. £1.6 billion of loan inquiries generated in the past six months.” CapitalRise primarily targets funding of £5 million or less, which is considered an underserved area of the market.
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