Crowdfunding platform OurCrowd surpasses $1bn AUM
Equity crowdfunding platform OurCrowd has reached a major milestone, reports Julie Muhn at Finovate. The Israel-based company has surpassed $1 billion in assets under management (AUM).
OurCrowd is currently backing 150 startups across the globe and has previously helped 20 startups successfully exit from funding since its launch in 2013. One of OurCrowd’s most notable investments is Hyperloop, which it backed before Virgin Group invested in the company last year.
OurCrowd founder Jon Medved told The Australian Financial Review in an interview that the company is “a hybrid between equity crowdfunding and venture capital [VC]”. Medved added: “With the most valuable companies in the world like Uber staying private for much longer, we’re democratising early access to them. The minimums on venture capital funds are still $3 million to $5 million, which is out of reach of almost everybody.”
OurCrowd selects 1-2% of the 3,000 companies that apply for funding, negotiates the terms of the deal, and invites the investor community to invest at the same terms. The company requires a minimum investment of $10,000. This may be one factor that enticed the 25,000 registered investors on its platform, since traditional VC investing is typically out of reach. OurCrowd has vetted 8,500 companies and its clients represent 112 countries.
In 2016, OurCrowd debuted its mobile app. Last October, it opened an office in Spain and in March launched a location in the UK. OurCrowd now has offices in seven countries: Israel, the US, Canada, Australia, Singapore, Spain, and the UK. The company has raised $700 million to date.