UPDATED: Mobile trading app SellShed takes the crowdfunding route

UPDATED: Mobile trading app SellShed takes the crowdfunding route
UPDATE: SellShed have hit their funding target of $250,000 in just four weeks via equity crowdfunding platform PledgeMe.

SellShed CEO Peter Howell says the team is thrilled to have attracted a large number of investors who wanted to be involved in the start-up company’s expansion. 

“It’s a rare opportunity to get involved at this early stage, and one that Kiwis have obviously seen the benefits of,” says Howell. “We are now on track to start expanding the company and demonstrating the innovative ways this technology can be used.”

Original story continues below

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Kiwi tech start up Websoft, the latest company hoping to take a bite out of TradeMe’s online-trading pie, has turned to crowdfunding to finance their grand expansion plans.  

The Mount Maunganui-based company has developed a mobile app that connects users looking to buy and sell based on their location.

The app, called SellShed, does not charge users a fee for their trades, the company generating revenue via geo-advertising (based on the location of the user) and subscriptions (which sees businesses pay a monthly fee to cover their listings).

Though already having raised $300,000 via private fundraising efforts, the company is now looking to fill its investment coffers further – to the tune of $500,000 – via equity crowdfunding website PledgeMe.co.nz.

Websoft CEO Peter Howell says that crowdfunding platforms can be a good option for developers wanting to attract supporters who have an understanding of technology and may be more likely to invest via emerging investment models.

“We see this approach as a potential funding model for a lot of future online or app-based businesses in New Zealand, as it’s an ideal way to tap into investors who want to be involved in a project like this but may not want to go through traditional investment channels to do it.”

“We’re expecting good uptake from people who have a reasonable investment income, and also a good understanding of online technology and its applications.”

Although the immediate focus is on expanding the app to a national level, Lowell says the company has already gained interest from overseas and eventual expansion to an international level makes sense.

“Because of the nature of the mobile platform there are no geographical boundaries,” he says. “We already have users in New Zealand, Australia, UK, USA, Italy and Uruguay, although 99 percent of the users currently registered are Kiwis.”

The SellShed PledgeMe campaign is live now and will continue until the 9th of April.