'Unprecedented Growth': Chip Raises Record Funds To Fuel Innovation, Launch Savings Feature

Chip, an automated savings app, saw a record crowdfunding round as almost 4,000 investors partook in a $3.2M raise, making it the largest equity crowdfund to be completed in the U.K., since the lockdowns.

In a statement on the development, Simon Rabin, CEO, and founder at Chip said “We've seen unprecedented growth during these difficult times, which demonstrates that Chip is incredibly useful for putting money aside for safety net and emergency funds. Off the back of this growth, we wanted to share the opportunity with our investor community, and have been overwhelmed by their response.”

In the first three months of 2020, Chip’s user base grew 40%, with average monthly user savings increasing 13%. The funds will help the company further accelerate growth and launch new features, such as an FSCS protected savings account.

“The raise with Chip shows that, despite the bigger economic turmoil, there is still an appetite from communities and everyday investors to support startup and scaleup businesses,” said Luke Lang, co-founder of Crowdcube, the platform which facilitated the funding. “Investors see that Chip is a service that helps people manage their money and save and they want to give support to that movement. Chip’s growth is over and above the fintech app’s greater market growth which has seen average weekly app downloads jump 20% between the end of last year and the first three months of this year.”

To beef up your financial wellness, visit getchip.uk to learn more.

Photo courtesy of Chip.