Subdial raises £1.5 million through Watchfinder founder

Russell Sheldrake

• Subdial has recently announced that it has raised £1.5 million in funding led by the founder of Watchfinder, Stuart Hennell.
• Hennell exited Watchfinder shortly after it was bought out by luxury group Richemont in 2018 for an estimated £220 million.
• This investment will be placed into strengthening the platform as it is and help the company’s plan to open a physical Clubhouse in early 2025.

The British secondhand watch dealer Subdial has recently announced that it has raised £1.5 million in funding led by the founder of Watchfinder, Stuart Hennell. Subdial was founded in 2018 as the secondary market was at the very beginning of a boom period. As the company matured, it moved further into tech, and now, a large part of its value is found in its tech-based approach to buying, selling, and evaluating the market. The market index that it has created in partnership with Bloomberg has become one of the industry standards for those looking to quickly see the ups and downs of popular models.

Stuart Hennell, the Co-Founder and ex-CEO of Watchfinder, was once the competition of Subdial, but he exited the company shortly after it was bought out by luxury group Richemont in 2018 for an estimated £220 million. Now, as a private investor leading a group that includes Active Partners, Hennell is re-entering the industry by backing Subdial with this significant investment. It’s interesting to see Hennell make this move, given that Subdial and Watchfinder used to be head-to-head rivals in many peoples’ eyes. But it shows just how much confidence he has in the business and the very tech-forward approach they are taking to this industry.

Hennell has now taken an informal advisor for the business but will not take a seat on its board.

While the unique nature of Subdial’s business remains in its tech and data-driven approach, they have also kept its sales figures healthy thanks to the weekly drops, which are always greatly anticipated by the collectors signed up for its newsletter. These drops have led to Subdial reaching roughly £30 million in annualised run rates.

This is not the first time Subdial has done a round of fundraising either. Back in 2021, the company was able to generate an investment of £4 million led by Active Partners. Given the crash the market saw in early 2022, this round came at the perfect time and likely helped Subdial survive this dip. While the market still hasn’t fully recovered in some sectors, we appear to be reaching a level of stabilisation, and it appears that confidence is starting to return. However, we are unlikely we will ever see the dizzying heights that we saw in late 2021 again.

Subdial says that this investment will be placed into strengthening the platform as it is instead of developing a new type of technology. It will also help the company move its offices from its current location in Hoxton to Farringdon, where it plans to open a physical Clubhouse in early 2025.