nHouse

Idea

Introduction

nHouse is a young disruptive housing company offering homes created by award-winning architects. We make houses using modular methods - which means they are constructed in parts in factories before being taken and connected together at a building site.

The 12 homes in our range are eco-friendly, full of lifestyle technology, spacious, have healthy home attributes, are low cost to run and made of high-quality materials - we have BOPAS accreditation meaning they are not only mortgage friendly but also come with a 60-year structural warranty.

We are able to sell houses to self-builders, developers and volume house purchasers (e.g. Housing Associations). Our aim to offer people on average incomes a better type of home.

The UK governement wants our sector to help solve the housing crisis, particularly because we can make a house in 12-16 weeks.

We aim to sell hundreds of homes annually. Since 2016 we have been backed by over 1000 private investors. We now have 60+ homes in the pipeline.

Intended impact

It's a sad fact that many of new builds in the UK, aimed at the mid-market, are often unloved and poorly made.

According to RIBA (Royal Institute of British Architects), only 1 in 4 of us would consider living in a new build. Potential buyers said they were turned off by small cramped houses with limited architectural merit.

And quality is a massive problem. A recent report by the UK Parliament discovered that over 90% of new builds have snagging issues. You might have seen the many reports on Watchdog about persistent problems with new builds.

At nHouse we want to show that houses made in volume, and at a price point affordable to people on average incomes, can still be high quality, eco-friendly, spacious, healthy and built to last.

With record profits being enjoyed by the monopoly of UK housebuilders we believe innovation needs to come from disruptive young firms like nHouse.

How else will we get near to delivering the 300,000 new homes we need each year?

Substantial accomplishments to date

Sales

Over the past three months, we have received an average of 83 incoming sales enquires per month.

We have 60 nHouses now in planning, out of planning or about to be submitted to planning – representing a potential £13m+ revenues.

We have signed an MOU with a major developer for 152 homes to be supplied by nHouse in 2020.

Money.

Since launch in 2016 nHouse has raised £1.17m from 1,200 investors.

Products.

nHouse has developed a range of 12 properties, from flats and bungalows right up to large six-bed houses, using a variety of construction materials, finishes and specifications as well as optional extras.

We have selected our manufacturing partners, worked up the extensive documentation, design and engineering information required and achieved BOPAS accreditation.

nHouse have helped to create, and have a 28.3% shareholding, in Click House - a low-cost affordable solution for the entry-level property market.

Marketing.

nHouse has created a strong brand with brochures, websites and other marketing materials.

We have exhibited at numerous conferences and events including Grand Designs and ModMatch.

We are being currently filmed by Grand Designs and have achieved substantial press coverage and have been featured in national newspapers.

We are ranked on the front page of Google for modular house searches.

Monetisation strategy

nHouse aims to continue growing in the UK. In 2020 we want to close 150 sales and grow sales to 900 per year in the UK within five years.

In the next few years, we plan to launch new housing products in order to capture additional market share - such as military housing, leisure homes, retirement village homes, corporate accommodation etc.

nHouse plans to also work with international partners to achieve exports of our homes. We also aim to create partnerships with major developers, governmental organisations and construction companies in order to sell nHouses. This may be achieved via direct ownership, design licensing, franchising or joint ventures.

Use of proceeds

This current raise of £400K will be used in five ways:

1. Employment of 2 x additional staff (Sales Staff and Project planners) over the next 12 months. (20% of expenditure)

2. Marketing activity (PR and other) to raise awareness further (35%)

3. Developing additional nHouse products via design and prototyping (10%)

4. Research and development work necessary to prepare expenditure plans for the major 2020 raise (5%)

5. Working capital to support sales (30%)