Barclays rolls out a free online service to connect investors and businesses
Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.
UK bank Barclays announced the launch of a new free online service that intends to help UK investors connect to local businesses.
Demo Directory evolves from a newsletter to a full platform
The service is known as Demo Directory, and it is available for all companies, even if they do not use Barclays as their bank of choice. The directory allows businesses to post video pitches, as well as answers to questions, essentially presenting their business to investors.
On the other hand, attested investors can also join the service, sign up, and review the directory. They can filter businesses in terms of region, size, and alike in order to easily find the ones they are interested in. After that, they can connect directly to the business founders, review the business and its pitch, which will be designed specifically for investors, rather than for potential customers, like regular advertisement materials.
The new platform has been in the works for a while now, and it comes after two years of Demo Directory running as a newsletter. Barclays explained that data analysis uncovered that its service in the form of a separate platform could be helpful to minority groups who were previously underserved by allowing them to find good investments and access them easily.
The bank said that more than half of its applicants so far identified as being from ethnic minority backgrounds. Around 39% were female founders, and 48% of applicants were based outside of the so-called Golden Triangle, consisting of London, Cambridge, and Oxford.
The bank’s research also revealed that two-fifths of founders that were surveyed have been using investments to expand their service and product ranges. Around one-third used them to hire additional staff members, and almost the same number used them to expand and/or upgrade their premises.
Connecting investors and businesses
Barclays’ head of Demo Directory, Benjamin Storey, commented on the new platform, stating that the bank’s intention is to make it as easy as possible for businesses to connect with those ready to provide them with capital.
Whether those businesses are seeking investment for the purpose of growth or to handle the increased cost of doing business, they will be able to benefit from this service.
Storey added that there is real appetite for this type of service on both sides, including businesses and investors alike. In the last two years, the bank has been working on establishing connections between companies and investors using the newsletter version of the Demo Directory.
During this time, 49% of founders managed o raise money within only six months of being a part of the directory. Now that the directory has its own platform, the bank expects to see even greater efficiency.
