Startup bank Tandem smashes its £1 million crowdfunding target - but people are complaining about glitches
Tandem was set to fully launch its crowdfunding campaign on Friday but on Thursday at 12 p.m. BST, it opened it up to investors who had expressed interest by signing up to its email list ahead of time.
The company, which is valued at £65 million in the round, met with such demand that it raised its entire investment sum in around 10 minutes. A source close to the company, who did not want to be named, told Business Insider that Tandem hit 85% of its funding goal in around two minutes.
An hour after opening, just over £2.4 million of investment has been pledged by investors towards the bank. But a spokesperson for Tandem told BI that one investor had accidentally invested £1 million rather than £100,000. This error is being corrected by Seedrs, meaning the real total is likely to be closer to £1.5 million.
Tandem has signalled that it will sell more equity to meet investor demand tomorrow. It's not clear at the moment how much.
"What you really want to know is 'am I going to run out of money this month and if I am, what can I do about it?' Let's face it, 90% of the UK runs out of money at the end of the month. That's the problem."
Tandem has yet to launch but plans to launch its products later this year. It was the second app-only bank to be licensed in the UK last year.