When reviewing a pitch deck, investors look for signs of the growth potential and longevity of a business. Hardly can entrepreneurs present better proof of this- or show that their product has a stable marketplace full of current and prospective clients than having 87 of them invest US$400,000 in the business in just six hours. Eureeca, a Dubai-based equity crowdfunding enterprise, has achieved this twice, raising the same amount from their own platform.
The first self-funding campaign was completed after 12 days of being online in 2016. The latest one was initiated as part of the Eureeca team’s efforts to raise $5 million in a Series A funding round from institutional investors across the globe, and reached its target over the course of just one afternoon. “When we embarked on this self-funding campaign, it was actually quite refreshing to see that there was more demand than we had anticipated,” says Sam Quawasmi, co-founder and co-CEO of Eureeca. “Those were an interesting six hours in the office for all of us, to witness how many investments came through. Never had we anticipated that it would take us just six hours to reach the funding target- we thought it would probably be 12 days, like last time.”
Sam Quawasmi and Chris Thomas, seasoned entrepreneurs and former investment bankers, launched Eureeca in Dubai in 2013 as an accessible digital platform connecting growth-oriented private businesses with investors -ranging from angel investors to strategic institutional investors- globally. With the model being a disruption of the way people invest and businesses raise capital, the co-founders soon found themselves in a legal grey area, having to assist regulators around the world to catch up with the changing market conditions.
The direct result of these efforts is that Eureeca is today the first equity crowdfunding platform that is multi-regulated. It first got regulated by the UK Financial Conduct Authority in 2015, which was followed by a license from the Securities Commission Malaysia the same year. Then in 2016, Eureeca got the license from the Dubai Financial Services Authority, and that was soon followed with one from the Netherlands Authority for the Financial Markets.