Usually, banks have been generating profit from customer debt. So long, banks have made money from customers who struggle to pay loans and overdrafts on time or by monetising customer data by providing financial products offered by other banks on a digital platform.
This is where Dozens, a London-based challenging banking startup wants to make a difference. The team claims that they are an e-money firm providing current accounts and an investment firm providing cash savings accounts and investment products.
Heads up about Dozens
Dozens was founded by Aritra Chakravarty who worked with HSBC for 13 years across London, Hong Kong and New York. The company operates with the mission to create a financially-savvy and equitable world by offering digital access to financial literacy. It also brings sophisticated products that are meant for smaller market segments.
Raises €4.5M crowdfunding
The challenging fintech startup recently closed £3.8 million (nearly €4.5 million) via a crowdfunding campaign on Seedrs, a leading European investment platform. The actual funding target set by Dozens on Seedrs was £3.5 million but the goal had exceeded bringing 2,156 investors from across 42 countries. Besides this, Project Imagine, Dozens’ parent company raised $8 million (nearly €7.1 million) prior to this round.
Dozens announced that the raised funding will be channelled for further growth initiatives and product development including business banking and child accounts. Also, it will be used for the first phase of its banking license application.
Dozens operates with the objective to help people manage their finances by offering an all-in-one app that lets customers take a look at their budget, spending, investment and saving in a single platform. While the app was launched in January, Dozens secured both a MiFID Investment license and full e-money license.
This let the company develop proprietary financial products. Within three months of launching the app, the startup has gained a massive user base of over 12,000 downloads and over 5,500 KYC completed account holders.
Leverages financial benefits
By offering sophisticated financial products, this fintech startup lets customers save and invest as well. So, it does not rely on their overdrafts and debt for profit.
Founder and CEO Aritra Chakravarty said: “Dozens was born out of a need to align business incentives with the customer’s financial wellbeing, and as a result, our community has been at the heart of our operations and development since inception. We are delighted by the number of investors who have shown an interest in joining this community, and look forward to working with them closely in order to make Dozens the business we are confident it can be.”
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