UK Crowdfunding Association

Thank you to Jennifer Sieg at CityAM for covering this story and our letter to City Minister Tulip Siddiq. The impact on crowdfunding is significant. “The UK is now seen as having one of the most highly regulated markets for this type of investment in the world – overtaking even the US which has long been a laggard on supporting the benefits of crowdfunding." Bruce Davis, UKCFA Chair A much needed new independent review of small business finance, we hope, will balance the needs of consumer, platform and SME to create a thriving and attractive investor ecosystem, as we had previously, in the UK. Regulatory change needs support. If you'd like to get involved, the FCA encourages people to take part in the open discussion on risk it has called for. #financialregulation #investment #crowdfunding

'Britain is losing out on a “significant source of sustainable economic growth” because the Financial Conduct Authority reforms are deterring prospective investors from taking any risks.' The story was broken yesterday by James Hurley at The Times with responses from both the regulator and HM Treasury. The UKCFA has been working tirelessly to assess the impact of reforms to the regulatory framework over the last five years. Analysis of the FCA's own data showed that the UK has seen an increasing number of people with the capacity and cash to invest exiting the market and hoarding their savings as cash. There is an urgent need for an independent review of the reforms to the UK's regulatory framework, to make sure that we are encouraging those who can invest, to back British businesses who are looking to grow. Many thanks to James for bringing this to light and provoking the debate on the role of #financialregulation and how we ensure the UK remains an attractive location for entrepreneurs to start and build a business. If you want to get involved and share your own experiences of raising capital in the UK please don't hesitate to get in touch at www.ukcfa.org.uk Times (£) article below:

Whether crowdfunding through reward, debt or equity, crowdfunding is a way of raising finance by asking a large number of people each for a small amount of money. Find out more, or join our crowd:

Prior to the budget announcement yesterday, the government set out clear priorities to spread the benefits of "clean growth" across the nation. On the face of it, this budget was about filling holes rather than providing incentives for growth, although we wait to see how the investment will flow from the newly established National Wealth Fund ('the UK's new Impact Investor') and GB Energy (a new publicly owned energy company) to benefit the UK economy. > The National Wealth Fund has some big shoes to fill (of the UK Infrastructure Bank) and needs the capacity to assess the hundreds of opportunities to deploy its capital. > GB Energy needs to grow quickly from a minnow to a major player. It will be vital to understand how it will work with private businesses and private investors, to leverage its balance sheet and accelerate the change we need in our energy system. The power of stability, to support businesses making decisions to invest, should not be underestimated. Now the echoes of the big fireworks of the Treasury's main event have receded, we look forward to getting on with the task, of working with Treasury and regulators, to free up the UK's moribund capital markets, and to encourage investment into business that are looking to grow and invest in the UK and beyond. #UKeconomy #investment #budget2024

Tifosy Capital & Advisory, the UK-based sports crowdfunding platform and UKCFA member, recently gained approval from Consob, the Italian financial regulator, to provide crowdfunding services across the EU. This move enables Tifosy to continue bridging sports finance and investment, especially through initiatives like the $250M Sports Lending Fund. This fund supports smaller football clubs by leveraging future revenues—a game-changer in sports funding! Congratulations to Tifosy for breaking new ground! ⚽📈 #SportsFinance #Crowdfunding #Tifosy #Investment #SportsInnovation

We are casting a spotlight on some of the projects that have been supported by crowdfunding platforms. Here we learn how one charity was able to raise £4.35m through bond offers on the Triodos Bank crowdfunding platform. #crowdfunding #projectfinance #renewableenergy

In our latest Spotlight edition, we talk to Siobhan Whitehouse of R Europe (formerly Seedrs) and the benefits of UKCFA membership for their business. #crowdfunding #investment #financialregulation #startups

With The Financial Conduct Authority’s recent (and continued) focus on the regulation of crowdfunding investment activity, it’s important to understand the distinction between regulated and unregulated investment opportunities. Regulations are designed to protect investors, to ensure they are fully informed of the associated risks and are accurately communicated with transparency. At the heart of these rules is the commitment to safeguarding investors and promoting trust within the investment landscape. #Crowdfunding #Investing #FinancialRegulation

For our first September spotlight, we hear from Oliver Woolley CEO of Envestors, its unique position in the sector and and how it is driving innovation in the UK. #crowdfunding #investors #entrepreneurs #founders

The rules for share offers to the public are complex and difficult to navigate, and for many founders seeking finance it will be the first time they have had to engage with what financial regulation means and the potential risks if they fail to follow the rules. The issue was highlighted this week by James Hurley at The Times https://buff.ly/4g2vErY and also in City AM https://buff.ly/3XoenlN with comment from the UK Crowdfunding Association Chair, Bruce Davis. The association will be publishing further guidance for founders and business directors seeking to raise finance about the options available to them. The UK Crowdfunding Association has raised concerns in the past about the rise in the use of social media platforms by founders to contact people about a share offer without either seeking the support of an authorised firm with permissions to sign off third party financial promotions or working with regulated investment crowdfunding platforms and it is pleased to see the regulator taking decisive action where it feels that companies or individuals may be operating without the right level of authorisation or permissions. If you have any concerns or questions about the article and the issues involved don't hesitate to get in touch with the association (www.ukcfa.org.uk) or one of our members and we will happily signpost sources of advice and guidance. #Crowdfunding #Founders #Investing Financial Conduct Authority