Starling sets break even target for 2020

Starling Bank is set to break even in the UK by 2020, as the challenger forecasts that it will hit one million accounts before the end of 2019.

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Starling sets break even target for 2020

Editorial

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The annual letter from Starling Bank founder Anne Boden strikes a bullish tone, with the bank doubling customer numbers in the past eight months, to reach 775,000 accounts in total: 695,000 retail current accounts, 59,000 business accounts for small and medium-sized enterprises (SMEs) and a further 22,000 retail euro accounts.

Total deposits have surpassed £600 million and are expected to top £1 billion by the end of the year, as more users entrust Starling with their salaries. Boden says that 32% of active users deposit at least £1000 into their account per month.

The company, which is aiming for further growth via European expansion and through a big push into the business banking market, has grown its workforce by 170% over the past twelve month. The bank plans to add 400 staff over the course of the next year, bringing total employee numbers to over 1000. Boden says the bank is already looking for country managers in the Netherlands, France and Germany.

Having dispensed with literature on startup build out, Boden says she is now turning to business books dealing with high growth success.

"Today, Starling is no longer a start-up and a lot more than a full scale-up," she says. "We are in rocket ship mode, looking forward to our future."

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Comments: (1)

Gerard Wilkinson

Gerard Wilkinson MD at Cognitive Research

Anyone got any idea on the CAC and LTV orginal and current forecasts.

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