Online agent nu:move has officially launched its crowdfunding campaign.
The agent is looking for £150,000 in exchange for 6.97% equity in its business, which it values at £2m.
It says that it already has just over £152,000 invested, in exchange for 7% equity.
Based in Telford and launched in 2013, it says in its pitch that it has so far marketed over 10,000 properties and is profitable with year-on-year growth.
The business operates a franchise model, and also has a global offering – nu:move International.
In its Seedrs pitch, nu:move says it makes money through selling its packages, through referral fees for conveyancing and mortgages, and from franchisees.
Franchisees pay from £3,995 for an area of 25,000 properties, plus a licence renewal that costs £1,300 for five years, and £215 payable monthly.
Nu:move also says it is aiming to make money from new affiliate streams, such as broadband through Virgin Media.
It wants to use the money raised to expand its franchise network: “Our aim is to have a franchisee in all major cities, allowing us to bridge the gap that still exists between traditional estate agents and online estate agents.”
It will also invest in brand awareness, technology, and staffing at its headquarters.
While there is a director’s loan of £50,000, the Seedrs pitch says none of the funds raised will be used to repay this.
Investors who back nu:move to the tune of at least £500 will get rewards in the form of lettings packages.
— Property Industry Eye to propertyindustryeye.com
