The following was run in the press today… it leaves me very concerned as an investor. How about you?
Curve, the London based fintech, has come under fire after leaked figures show just 14% of their 500,000 customers are active users.
The fintech startup valued at £200 million in July, combines multiple credit and debit cards into one app and card. Customers can use the same smart card at POS by selecting which account they wish their funds to come out of through the app.
Earlier this month Curve announced the addition of Google Pay to their offering, meaning its users are able to link all their bank cards to Google Pay irrespective of the provider. Integrating Apple Pay looks to be high on Curve’s agenda.
Despite these feature announcements and a record-breaking £6 million crowdfunding raise in September, the leaked figures paint a slightly bleaker picture.
Two sources provided information to Business Insiderwhich suggested only 72,000 of Curve’s 500,000 customers have used their card once a month or more. curve has not shared these statistics publicly, and while the company spruiked optimistic growth projections in sales documents for the September raise, corroborating data for these expectations has been slim.
Certain disgruntled members of Curve’s crowdfunding cohort have lamented a lack of transparency and engagement from the startup.
Per UK regulation, Curve told the FT that it was not required to provide a detailed prospectus to crowdfunding investors when asked about their investment deck that lacked key-performance-indicator data or detail on expected revenue or profit margins