The new online lettings agency easyProperty has exceeded its crowdfunding target by 42 per cent.
The controversial funding option, extensively covered by Letting Agent Today over the past two weeks, eventually saw 396 investors become stakeholders in the easyProperty business and take part ownership of the firm.
The minimum investment was set at just £500, although easyProperty achieved individual investments of up to £200,000. The final total raised was £1.42m, significantly above the £1m target. Originally, investors were offered over a 1.5 per cent stake in the online business, but the overfund led to 2.12 per cent equity being taken.
The Crowdcube platform, one of many crowdfunding websites, was only expected to contribute £1m of easyProperty's new overall investment target of £7.5m, which will be used to further develop the business including a move into property sales.
Rob Ellice, CEO of easyProperty, says the over-subscription shows just how big a need there is for the property market to evolve.
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Comments
As Duncan Bannatyne might say: 'EasyJet selling properties Really No, too risky for me. And for that reason, I'm out!'
I don't think the over-subscription says that at all, Mr Ellice. What it says is people are interested in making money off the easyJet brand. Will be fun to see how it all pans out.
As one of the dragons would analyse: 2.12% stake for 1.42m investment That values the business at 67m! Where did you dream that one up from I'm out.