Smarthost, an online lettings agency that has been going since 2016, is to launch a fund-raising bid on crowdfunding site Seedrs that, it claims, will value the company at £5 million.
The agency won’t reveal details of the fundraiser before it official debuts, but companies like this usually raise approximately £500,000 in return for investors being given collectively 10% of their share capital, hence the valuation.
Smarthost is an online short, medium and traditional lets platform that enables landlords to advertise their rental properties on portals such as Airbnb, OTM and Rightmove.
Its key difference compared to other operators in the lettings market is that it enables landlords to easily switch between short, mid- and long-term lets and quickly respond to changing market conditions.
This includes a fully-managed long-term lets package including tenant find, move in and property/tenancy management that charges 6%.
The company has 500+ landlords on its books and offers a wide range of services including Zoom-only viewings, photography, listings management, bookings management and house-keeping.
“The funds generated from crowdfunding campaign will primarily be used to improve our property management software and sustain our national presence,” says 36-year-old CEO and co-founder Djamshed Ashrapov (pictured).
“Additionally, we’ve established a loyalty program allocating some corporate equity to our clients, aligning with the interest of all stakeholders.
“We’ve generated £6.9 million in total bookings with £1.27 million in revenue, which has been doubling every year.”