Exciting news this week… We are opening our crowdfunding up on a secret squirrel basis to our readers for first dibs, before sharing with a public audience later in September.
Boring Money is now four years old. We have been developing and testing our site over the last three years, building what we believe to be the best comparison site for ISAs and pensions in the UK, complete with an independent expert view (think Which?), the investor view (think TripAdvisor) and a unique charges calculator customisable for the amount you have. We’ve also developed a whole host of guides, quizzes and ‘people like me’ content to help people navigate the complex maze that is investing.
Armed with the knowledge of what works and what you want us to do to be better, we’re now ready to Go For It. We are raising money to add to our comparison tables (better help finding and comparing pensions, sustainable investments and financial advisers) and also to make our site a lot easier and better to use. Our vision is to become the most trusted brand in the UK for people who need help to make better choices with their investments and pensions.
If you like what we do and fancy unleashing your inner Dragon, then please head to our pre-registration page for some more detail on what lies under the Boring Bonnet.
Crowdfunding – for those of you new to the concept – is a tech-enabled way for ‘ordinary people’ to own a part of a business which is not traded on any stock exchange and still privately owned.
All businesses can raise money in two key ways – swapping a share of the business for a wad of cash (‘equity’) or taking out a loan (‘debt’). Small firms have traditionally raised money from family, friends and so-called ‘angel investors’, progressing to venture capital, then private equity and finally stock markets as they increase in size. Crowdfunding enables businesses to seek investment from their customers and ‘normal people’ – people who know and like the brand and think they will be bigger and better in the future than they are today.
Bypassing banks and supporting ventures by multiple individual contributions is not a new concept. Books have been crowdfunded for years. Philosopher Auguste Comte effectively crowdfunded his future work as a philosopher. (Cheeky! Please give les francs so I can wander around the Seine and wonder if I exist… ou pas …..merci) British band Marillion crowdfunded a US tour in 1997. Films and software were also amongst the first ventures to fund this way.
It’s now entered the mainstream. Last year, about $18 billion was raised in the States from crowdfunding. Some forecasts project this will hit $300 billion by 2030.
Like any investment there are risks to consider. Many early stage businesses don’t make it. And sometimes they have bonkers valuations “hi we made £1,000 last year but we reckon we’re worth £100 million, awesome”, [delivered from a shiny-toothed-bearded-former-investment-banker-smile.]
But here’s my pitch. Our space is growing. There are now more than 6 million DIY investor accounts in the UK and investing activity has soared to an all-time high. Millions of people have been auto-enrolled via work and so have become an army of ‘accidental investors’ - in a few years’ time they will suddenly see that ‘boring pension’ thing is a big lump of poorly understood money, worthy of further investigation. Cash continues to be a limp squib. There’s increasing pressure from investors to know that their money isn’t stuffing up the world. And finding trusted advice – whether digital or traditional - remains hard.
As you guys know, there is very little help available for all these important decisions and choices. Enter Boring Money stage left…..
We’re growing. Our research and advisory business is flourishing. We’re helping more and more financial services businesses to understand what investors want – and how they can make better products and services. All helped by the 400,000 visitors to our site in 2019 who participated in our polls, reviewed their providers, told us what they like ….. and what they hate. Behind the scenes we’re a solid digital information business and guess what – we make money too! Last year we turned over more than £1 million.
Thanks for reading this. And thanks to everyone who has supported us in our early years. We hope many of you will get involved in the business – and help us in our mission to help people make better choices. And the industry to make better products.
Have a lovely soggy weekend everyone. Next week is back to school week. I could stand outside in a hurricane for the entire weekend and still feel jolly ;0)
Please be aware that an investment like this is risky and should be part of a diversified portfolio. Please make sure that you read all available information before investing. – THIS IS THE RISK WARNING 😊