Channel 4 Ventures Backs Chip Wealth App in Major £17m Funding Round
Channel 4 Ventures has announced a significant investment in the UK wealth application Chip, participating in a £17m funding round that values the financial technology company at an impressive £208m. This strategic move marks Chip's first institutional backing and will finance an extensive television advertising campaign to boost its market presence.
Funding Structure and Investor Participation
The funding round, which was revealed today, combines £6m of media-for-equity from Channel 4 Ventures with £11m raised from more than 9,000 retail investors through the popular crowdfunding platform Crowdcube. Channel 4's stake will be provided through advertising inventory across its broadcast and streaming services rather than a traditional cash injection, reflecting an innovative approach to corporate investment.
Chip, which was established in 2017 by founders Simon Rabin and Alex Latham, has historically relied almost exclusively on crowdfunding to support its expansion efforts. The company now boasts over 500,000 active users, manages approximately £6bn in assets, and achieved revenues of £23.8m in 2024, demonstrating substantial growth in the competitive fintech sector.
Company Performance and Market Recognition
The wealth app recently secured 16th position on the prestigious Sunday Times 100 Tech list this month, propelled by robust sales growth across the past three years. This recognition highlights Chip's increasing influence within the UK technology landscape and its potential for continued expansion in the consumer finance market.
More than 30,000 individuals now hold stakes in Chip, making it the most widely owned private enterprise in the United Kingdom. Since its launch, the company has secured over £50m from retail investors, showcasing remarkable public confidence in its business model and future prospects.
Strategic Implications and Future Plans
The structure of this funding round reflects a wider movement towards scale and shareholder oversight within the investment community. Approximately £2m of the capital has been utilised to offer partial liquidity for current investors, enabling early retail supporters to sell some of their holdings. Chip intends to formalise this methodology through an annual secondary share sale strategy created in partnership with investment platform Crowdcube.
This innovative approach aims to provide investors with a regular pathway to liquidity, which remains a feature still comparatively uncommon amongst crowdfunded private companies. The agreement supports Channel 4's broader strategy to diversify revenues by taking equity positions in consumer-facing growth companies in exchange for advertising support.
For Chip, the collaboration delivers substantial global exposure as it seeks to compete more directly with established consumer finance brands. The funding will support a television-led marketing campaign later this year, as well as new product launches including personalised investment tools and AI-driven financial guidance systems.
This partnership represents a significant development in the intersection of media, technology, and finance, potentially setting a precedent for future collaborations between broadcasters and innovative fintech companies seeking to expand their market reach through strategic advertising partnerships.
