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Holiday Online

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Founded by ex Rightmove Head of Overseas, Holiday Online is a simple solution for rural & coastal hosts.

133%
 - 
Funded 24 May 2019
£75,002 target
£105,052 from 215 investors
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Business overview

Location Norwich, United Kingdom
Social media
Website www.norfolkholiday.com
Sectors Property Mixed Digital/Non-Digital Mixed B2B/B2C
Company number 11307102
Incorporation date 12 Apr 2018
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Investment summary

Type Equity
Valuation (pre-money) £651K
Equity offered 13.32%
UK tax relief

SEIS

  • Idea
  • Team
  • Updates
  • Investors 215
  • Discussion
  • Documents

Idea

Introduction

Founded by former Head of Overseas for Rightmove, our mission is to capture the Holiday Listings Market in Coastal and Rural regions around the UK. We acquire private holiday lets from owners of single and multiple properties and market them online in return for a commission on bookings.

We don’t compete with Airbnb (they are one of our partners!). Instead, our aim is to attract the properties they do not have, create the property listings ourselves and put them onto their site and others such as Booking.com.

How do we get listings they don’t have? We use a hyperlocal approach to target owners. Our first brand, NorfolkHoliday.com, is able to talk directly to a segment of the market with a brand offering a local service but a global digital reach.

This is a powerful combination when presented to owners based in remote Coastal and Rural areas who are not necessarily technology or marketing savvy to do it for themselves.

Note: size of target market is an estimate based on certain assumptions.

Intended impact

We believe we have made a simpler offering for owners with self-catering accommodation to reach digital travellers.

The choice on offer for owners is to pay 3% to a platform like Airbnb and be responsible for the entire digital marketing journey themselves, or to hand the property to a full service agent who will manage the whole process, including the checking in of customers, for a fee of around 20%. We sit in the middle, typically charging 10%, to market your property, to send you a ‘head on a bed, leaving property owners to do the part you enjoy – being a great host!.

Earlier this year, Airsorted, who operates a similar model, raised £7M on a £26M valuation with Seedrs. They and companies like them have opted to target cities both in the UK and Overseas.

Our approach is slightly different in that we target Coastal and Rural areas where we feel the market is currently underserved.

Substantial accomplishments to date

• Sept 17 Design and Build of Prototype
• Oct 17 Promoted concept to property owners.
• Established partnerships with Airbnb and Booking.com.
• Jan 18 Launched NorfolkHoliday.com.
• Feb 18 Receive our first traveller bookings.
• Apr 18 1st commissions paid to us for completed traveller bookings .
• Sept 18 Welcomed our 200th guest.
• Nov 18 Recognised by Grant Thornton as a Dynamic Business Shaping Norfolk's Vibrant Economy.

Our owners are now recommending us to other owners. With the fundamental platform already built, we believe we now have the potential to add real scale and reach out to more owners post funding.

Monetisation strategy

We have a flat pricing model which charges 10% + VAT to hosts for bookings. Our model means we make money when our hosts do so our interests are aligned.

The value on our business for a potential buyer down the line will in part be based on the number of property listings we have on the books, which is why we have made it super simple for owners to sign up.

Later on, we expect to generate ancillary revenue via 3rd party referrals. As an example, we have already had conversations with Inlet, who are one of the first providers to offer specialist host insurance, and they will pay commission for referrals.

Use of proceeds

This seed round is being raised to fund expansion of our offering in Norfolk and Suffolk whilst laying the foundation for potential growth in other key areas. The proceeds from this campaign will be allocated in the following way:.

80% Customer Acquisition.
10% Product Development.
10% Office & Administration.

Customer Acquisition – We have a hyper local strategy to attract new owners based on a playbook tried and tested by the founder during his time working with the leading property portals. We have an ambitious target to reach 200 owners in the 12 months following this raise.

Product Development – Having built the core product, we will continue to add new features and also build out our Suffolk offering.

The company has an outstanding debt of £30,000 in favour of a company owned by the founder. This will not be repaid from use of proceeds and is only repayable once the business is profitable

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Only shareholders can access this page

If you successfully purchase a share lot of this business, you will be granted access.

Buy shares

Only shareholders can access this page

If you successfully purchase a share lot of this business, you will be granted access.

Buy shares

Only shareholders can access this page

If you successfully purchase a share lot of this business, you will be granted access.

Buy shares

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Investing involves risks, including loss of capital, illiquidity, lack of dividends and dilution, and should be done only as part of a diversified portfolio. Please read the Risk Warnings before investing. Investments should only be made by investors who understand these risks. Tax treatment depends on individual circumstances and is subject to change in future.

This campaign for Holiday Online has been approved by Seedrs Limited (trading as Republic Europe) ("Republic Europe", "us" or "we"), as of 25 February 2019 as a financial promotion. Republic Europe is authorised and regulated by the Financial Conduct Authority with firm reference number 550317. In approving this campaign, Republic Europe has concluded that the information, taken as a whole, is "fair, clear and not misleading." This means that for factual statements we have reviewed evidence of their accuracy, and that for aspirational statements we believe they are phrased appropriately in light of their speculative nature. You should note that in the case of factual statements, the evidence we review is provided by the business, and we do not audit it, which means that we may not be able to identify forged or altered evidence. You should further note that in the case of aspirational statements, the nature of the type of businesses presented on the Republic Europe platform is such that they are likely to have high ambitions, and we may approve statements that convey those ambitions even where we do not believe, or we do not have a view on whether it is likely, that they will be fully realised. The pre-money valuation and investment sought in the campaign are those set by the business: they are not reviewed or established by us, and the valuation is not an independent view of what the business is worth. Given the nature and type of businesses presented on the Republic Europe platform, it is possible that the business has very little cash remaining prior to receiving this investment, and the investment sought may be necessary for the business's on-going existence.

Republic Europe does not make investment recommendations to you. No communications from Republic Europe, through this website or any other medium, should be construed as an investment recommendation. Further, nothing on this website shall be considered an offer to sell, or a solicitation of an offer to buy, any security to any person in any jurisdiction to whom or in which such offer, solicitation or sale is unlawful. Republic Europe does not provide legal, financial or tax advice of any kind. If you have any questions with respect to legal, financial or tax matters relevant to your interactions with Republic Europe, you should consult a professional adviser.

Tax Relief (SEIS)

This business is eligible for SEIS relief - providing qualifying investors with income tax relief of 50% of their investment and certain other tax reliefs. Tax treatment depends on individual circumstances and is subject to change in future. Click to learn more.

Tax Relief (EIS)

This business is eligible for EIS relief - providing qualifying investors with income tax relief of 30% of their investment and certain other tax reliefs. Tax treatment depends on individual circumstances and is subject to change in future. Click to learn more.

Valuation (pre-money)

Valuation rounded from £651,000

This is the fully-diluted pre-money valuation of the business (i.e. before the new investment comes in and including issued options and other equity interests). In contrast, the post-money valuation is based on inclusion of the new investment in the value.

It is calculated as the pre-money valuation plus the amount of new investment. e.g. If Company A is ascribed a pre-money valuation of £1,200,000 by prospective investors investing £300,000, its post-money valuation is £1,500,000.

The investee business is responsible for setting its own valuation, it has not been prescribed by Republic Europe.

Pitch type

Investing in a regular equity campaign is the simplest and most common way to invest in a startup. You decide which business you want to invest in, and if the campaign hits its funding target then you will become one of their shareholders. As the company becomes more valuable, so do your shares; allowing you the opportunity to share in the future success of the business.

Learn more about pitch type on Republic Europe

Equity Offered

The equity offered is the percentage of the company’s shares being issued in return for the amount of investment raised.

When the amount raised is less than 100%, the equity offered is based on the target raise. Once the company has raised over 100% it is based on the total raised.

In some scenarios, entrepreneurs may accept additional direct investment after closing their Republic Europe campaign. Provided this is within 6 months of the closing and on the same terms, we do not typically offer pre-emption rights on that extra investment (where you have the opportunity to invest again to maintain your percentage shareholding).

Learn more about investing and pre-emption rights.

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None of the information in constitutes part of the campaign and it has not been approved or reviewed by Republic Europe.

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