Monzo's now a unicorn! 🦄

According to multiple sources, the fintech startup has set up a small team to begin laying the groundwork to bring a version of Monzo to North America, which will initially be powered by a U.S. banking partner while Monzo works on the necessary regulatory licenses to go it alone.

from TechCrunch: Challenger bank Monzo has quietly begun working on a U.S. launch

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Double unicorn now, Duocorn, twincorn…

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Wow. Hoping this is to prepare for a US launch.

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Big news! Great for them to have a US backer ahead of the launch

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They already had a smaller US VC who were investing in them before the last round, saw it on their accounts. But not to this extent

Edit: and stripe who I always forget about :see_no_evil:

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So double share price since last round? (Minus a bit for dilution no doubt)

… pure guess, if no dilution then £15 but it won’t be that high yet.

Monzo investors will be millionaires at this rate :+1:

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I’m not sure my 10 shares will get me over excited, but the round 1 investors must be skipping and giggling uncontrollably today

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That’s still £150 in your pocket!

Round 1 got you 1949 shares, so at £15 a pop that’s just shy of £30,000!!

Now imagine if you invested in every round.

:+1:

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I know some who did full in all the early rounds. I intend to shun them for a few days :grin:

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Hmm that’s about 3,600 shares - so your friend is now sitting on £50,000 of shares!

I take comfort in the capital gains bill when they sell them :grin:

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@Viktor @adam guys feel free to follow in Monzo’ footsteps (from a growth perspective - don’t try to be a bank :wink:)

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Was there no EIS on it? it would be exempt from CGT if there were?

Don’t rub it in dave :grin:

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Monzo is too big for EIS, these are the conditions it would not have met:

  • not have gross assets worth more than £15 million before any shares are issued, and not more than £16 million immediately afterwards
  • have less than 250 full-time equivalent employees at the time the shares are issued
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It’s also excluded by the rules as it is a bank:

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I’d like to think anyone who is in this position would sell their holding bit by bit to stay within their respective CGT allowance and also to keep the share price from dumping.

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That could take years potentially!

Imagine when that initial £1,000 investment is worth £150,000 at sale - 10+ years to sell just to avoid cap gains.

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That’d be a very nice problem to have (shares worth too much), there may even be some event which forces us to sell but I hope not.

At least spreading out sales helps hedge against possible further rises, so it’s best for multiple reasons. I imagine the number of investors with this problem requiring more than a few years to sell will be quite small but would love to be wrong. Would have been great if it was EIS eligible as freetrade was.

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When the first crowdfunding round happened I paid my colleagues with cakes to pummel the F5 button on their keyboards until one of them got the application page. Cost of cakes was £5 which makes that my single best investment!

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