The cash will support COLG’s Recognise brand, which is currently applying for a banking licence, to prepare for its lending and savings operation.
A statement said it was making key appointments and developing and refining its operating model.
“This will enable Recognise to be well-placed to focus its business offering in the UK SME market,” the statement added.
City of London Group CEO Michael Goldstein said: “We are delighted with the support shown by existing and new shareholders for our strategy.
“Today’s announcement and the commitments to raise in excess of £15m reflects confidence in the team and the strategy that we have laid down for creating an organisation that is positioned to meet the needs of the SME market.
“We continue to see a clear path for generating shareholder value.”