It was interesting to see last week’s figures from Innovate Finance on global FinTech investment during the first half of 2024:-
The UK is continuing to punch its weight, representing 12.7% of the global market, second to the US, and in the last 12 months has exceeded pre-Covid investment levels of 2018 and 2019.
Here are three take-aways from conversations I’ve had with founders in H1:
🔷 Sentiment is slightly more positive for earlier stage. This end of the market is typically more buoyant in these conditions. Some are delaying the decision to bring a VC in, and instead either bootstrapping for longer, or focusing on Angels. This could be a good outcome for many of these companies.
🔷 For Series A and beyond, sentiment is less positive. Interesting stat: 40% of the companies who raised at Series A in 2021 are still looking for their next round of funding.
🔷 Finally, their regulatory roadmap continues to be a major risk for many. There continues to be lots of uncertainty on where the FCA may go in a number of areas. This is either impacting growth plans (AI being a key one) and/or making cost assumptions more challenging.
#fintech #ukfintech #financialservices #founders #innovation #venturecapital
Motorway | Total Car Check | Ex-FLA motor finance policy expert |
1moSpeak to people please too. Data is not everything!!!