Overview & Background
MadBid is a penny auction site where users have to ‘pay-to-bid’ on items which are discounted on average at 80% of their RRP. After launch in 2008, the site gained almost 1 million users who each pay up to £1.50 per bid made regardless of whether it is successful or not. The funds raised continued the current strategy of investment in their technology, product range and services as well as the continuation of a rapid expansion programme in the UK and across Europe.
Go4Venture helped position MadBid as a leading European penny auction player. Go4Venture approached investors based on their ability to provide strategic insight as well as capital.
The Series A round raised $6mn from a single investor, formed by two renowned entrepreneurs who founded a leading digital consumer business. The investor not only provided funds for expansion but also vast knowledge and experience of extremely successful internet entrepreneurs. A partner at the investor joined the board to provide his informed guidance and expertise.