Manchester based Lets Rent are seeking a total of £100,000 investment via the leading crowd-funding platform Crowdcube. They believe that the money will help propel their unique service to great heights.
Lets Rent is a cloud-based online letting platform that helps both landlords and tenants through the letting journey. It aims to change the way the letting market operates by significantly reducing costs for landlords and tenants across the country, whilst making the journey easy and stress-free.
The investment funds will be used to market the service, while also making key hires and fund overhead costs.
Director of Lets Rent, Richard Cook, revealed that they were incredibly excited about the opportunity of investment via Crowdcube:
‘Investors have a great opportunity to invest in a fresh company with innovative ideas in an expanding market and return on investment is forecast to be 50 per cent within 3 years representing a healthy financial yield.’
‘Our aim is to change what we see as an out-dated letting market by offering a free service for landlords and a fair price for tenants. Landlords can mount up huge agent fees, which eat into their investment returns, sometimes thousands of pounds in locations such as London. Likewise, tenants can run up hundreds of pounds in fees which are totally unwarranted and cause aggravation. We created a simple system which remedied both these problems.’
The Commons Select Committee on Communities and Local Government recently accused some letting agents of charging unjustifiable fees to renters. The charity Shelter reported that the average fee for tenants was a staggering £350, not including deposit and rent.
Once more, a third of agents were charging more than £400, in some instances paying as much as £700. Lets Rent believe that this is unjustifiable.
The company simply charges tenants a flat referencing fee of just £99, with no hidden charges whatsoever. This is up to 70 per cent cheaper than the national average. In addition, all of the tenant’s paperwork is stored in their profile on the cloud based system. This speeds up the process, whilst making it easy and secure for them to complete tasks such as reference checks and transferring money.
Not only does it significantly benefit tenants, it also offers a completely free service for landlords to use, avoiding the huge fees that property investors can face when letting their property through traditional agents.
Lets Rent advertises a property on the major websites (including Rightmove, Zoopla, Gumtree, and Primelocation), sets up communication between landlord and potential tenants using a pioneering telephone system, and manages all the paperwork digitally.
The company are members of the regulating bodies The Property Ombudsman and NLA (National Landlords Association) and the service is available for all landlords and tenants nationally in England and Wales.
Founders, Richard Cook, Oliver Fitzpatrick, and Andrew Dawes, have experience on both the landlord and tenant side of the letting process, and thought a change was needed that was fresh, innovative, and easy.