Crowdfunding platform joins RBS scheme’s finance firms

● Seedrs joins as sole equity financepartner in initiative ● RBS connecting firms to alternative sources of capital

Crowdfunding platform Seedrs has joined forces with Royal Bank of Scotland (RBS) in an exclusive partnership as part of a new programme from the lender providing connections with sources of alternative finance.

The aim of the venture is to help in cases less suited to traditional funding, and provides Seedrs, which says it is the most active equity investment platform in the UK, with access to more early-stage, high-growth firms.

Seedrs is the latest addition to the handful of alternative finance-providers taking part in the Capital Connections scheme, and is the only equity-based finance-provider on board.

The platform counts Sir Andy Murray among its investors and has funded successful early-stage businesses such as Edinburgh-based accounting software firm Freeagent, which floated on Aim in November, salad company Tossed, and Landbay, a marketplace lender focused on prime residential mortgages.

It joins peer-to-peer lending platforms Funding Circle and Assetz Capital, Iwoca that offers working capital financing to small businesses, property secured lender Together and Royal Bank of Scotland Social & Community Capital for social enterprise and charity lending.

Seedrs said Capital Connections offers RBS business and commercial customers introductions to these alternative funding services, with no commission paid.

Alison Rose, chief executive of commercial and private banking at RBS, said conventional funding routes “are not always the best option for hyper-growth start-ups. As the biggest supporter of commercial business in Scotland we are committed to improving the support we can offer.”

Jeff Lynn, chief executive and co-founder of Seedrs, said the partnership gives it “a great opportunity to facilitate investment into more ambitious early-stage businesses. As the most active equity investor in UK private companies, Seedrs has already funded over 500 investment rounds for fast-growth SMES, with more than £210 million invested into campaigns on our platform to date. We look forwardtoworkingwithmany more entrepreneurs with exciting growth-focused businesses across the UK to deliver the funding they need from seed to Series A and beyond.

“It is encouraging to see a high-street bank embracing fintech and recognising the importance of alternative finance for funding the UK’S startup ecosystem.” Security and outsourcing giant G4S is set to secure its return to the UK’S FTSE 100 index today in the latest stockmarket reshuffle. It comes after it was demoted to the second tier in 2015 following a series of botched contracts, suffering a prisoner-tagging scandal in 2013 and failing to sup ply adequate security for the London Olympics in 2012. However, its shares have surged by 71 per cent in the past year, as it reaps the rewards of a turnaround led by boss Ashley Almanza.