Today in celebration of its first birthday as a live platform, CircleUp provided TNW with a number of performance metrics from the past year. We covered the launch of the company, and several of its early benchmarks, including the first successful rounds of funding for companies on its platform, and a partnership with General Mills.
If that specific union sounds odd for a crowdfunding platform, keep in mind that CircleUp is a technology company that seeks to help firms that are not taking advantage of new regulations regarding the raising of capital. In short, companies that focus on consumer products use CircleUp to reach smaller investors to help fuel their companies.
So. Much. Tech.
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What sort of companies fit its mix? Think firms that make food products and cosmetics.
CircleUp works with companies that have proven revenue streams, and are growing at a healthy clip. According to the funding platform, the average company that it rejects has greater than $1 million in yearly revenue, and growth of around 50% per annum.
70% of the firms that it accepts onto its platform closed, with the average raise clocking in around $1 million. 6 of the 11 companies funded thus far have been owned by women. Finally, and most importantly, according to the firm, dollar flow through its crowdfunding conduit has doubled in the last 120 days.
I was optimistic about CircleUp when it launched, but cautious; out around the same time were a number of crowdfunding startups – could they all make it? However, the crew at CircleUp have soberly expanded their investor rolls, partnered with obvious exit companies, and proven they can move a 7 figure round of funding from start to finish.
Its next challenge will be to increase deal flow and round size without sacrificing quality, or risk investor burn out. Also, it needs a big, juicy exit to rest its hat on. 2013 is fresh yet, let’s see where CircleUp can get to by the end of the year.
Top Image Credit: Steve Snodgrass