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nHouse

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nHouse make green, clean, eco-friendly and tech-packed designer homes for all...in factories

108%
 - 
Funded 30 Dec 2019
£400,000 target
£433,805 from 433 investors
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Business overview

Location Norwich, United Kingdom
Social media
Website www.the-nhouse.com
Sectors Property Non-Digital Mixed B2B/B2C
Company number 10453844
Incorporation date 31 Oct 2016
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Investment summary

Type Equity
Valuation (pre-money) £4.9M
Equity offered 8.06%
UK tax relief

EIS

  • Idea
  • Key Infomation
  • Team
  • Updates
  • Investors 433
  • Discussion
  • Documents

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%)

Key Infomation

nHouse Commercial Limited holds a 28.3% shareholding in Clickhouse Commercial Limited. Clickhouse manufactures low cost homes. nHouse offers the Clickhouse range as part of its general sales activity.

Please note, the company has two outstanding loans for a total of £75,855. These loans are not to be repaid until the company is profitable, and none of the funds raised will be used to repay these loans.

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

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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

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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 nHouse has been approved by Seedrs Limited (trading as Republic Europe) ("Republic Europe", "us" or "we"), as of 16 October 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 £4,942,733

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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