Darren Westlake, co-founder and former CEO of Crowdcube, has topped £150,000 in a funding round listed on the platform he launched. Westlake is steering clear of financial services, though, as his new startup is music-based. Crowdcube is one of the largest investment crowdfunding platforms in the UK and Europe.
According to the offering page, Disco (itsdisco.com) has raised £157,034.13 from 228 investors. The offering closed on September 11th.
Investors were purchasing equity in the company at a pre-money valuation of £4 million. The funding target was set at £100,000 so it beat its goal. The offering was EIS qualified, so investors will receive significant tax benefits. Crowdcube notes that this funding round was part of a wider round in which the Disco had already secured £50,000 in funding, which has been reflected on the progress bar. The pre-seed round was completed in late 2023, when the company raised £140,000 from angel investors as well as the Disco founders.
Disco targets the streaming music industry which has boomed in recent years. Disco reports that streams surpassed 713 million in 2023 with expectations it will reach 1.1 billion by 2030.
Disco lets users share music by seeing and hearing what friends, musicians, DJs, etc., are listening to, creating an interactive social music-sharing experience. Disco aims to generate revenue with premium products including concert tickets and affiliated merch.
Westlake has co-founded Disco with Paul Rose.
Westlake says they always knew securities crowdfunding would be part of their funding strategy:
“The funds will help us grow the team, and we’ve seen an incredible impact on key metrics like new user growth. Disco isn’t just another music app—it’s a revolution in discovering and sharing music. We’re really excited to welcome these new investors as part of our journey.”
He says they have already seen additional benefits from the public offer as new signups have jumped by 386% and they have received interest from partnerships with media related firms and artists.
Disco says it has applied for an Innovate UK Smart Grant to develop its technology.
The funds are expected to accelerate app development, expand the tech team, and invest in marketing initiatives such as referrals and partnerships.
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