Target to raise £1.5m to fund expansion after 300% growth in 2019
The UK-based Borrow A Boat company, which aims to be the Airbnb of the boating world, is currently undertaking a third round of crowdfunding to raise a target of £1.5m. Requests to invest led to this round, rather than doing a private shareholder fundraising round with support of venture capital partner, Edition Capital.
This latest round will account for 20% of the company’s equity, and the £1.5m target related to this values Borrow A Boat (BaB) at £6m. Borrow A Boat is the UK’s biggest boat charter marketplace, leading the change as the global boat charter industry adapts for 21st century needs.
The company realised 300% growth year-on-year between 2018 and 2019, reaching £146,000 (P&L -£1.3m), with the total value of charters sold growing to £835,000 in the same period. BaB is now prominent in the boating industry and three of the largest global boat charter fleets have now all listed with the platform including sailing yachts, catamarans, speed boats, RIBs, canal boats and more.
BaB now offers a fleet of over 22,000 boats in 65 countries. Its venture capital backer, Edition Capital, has made a £1m supportive investment and in addition the company is poised for growth which is endorsed by the boating industry.
The company states: “The feeling that we’re all in this together, changing the boating industry for the benefit of all, is exciting. It’s a mature global market, yet there are still plenty of people who can’t access the water as easily as they’d like. One in three people in the UK want to go boating, but only one in 12 do.
“We are happy to be supported by those who want to help us change that, and inspire a new generation of boaters, or new ways to get on the water. Plus, the idea that everyone makes a significant return so that we can all spend more time on the water fills us with the drive to succeed.”
Formed in 2016, BaB has already had two previous successful rounds of crowdfunding. In 2017, with a target of £200,000, the round was overfunded by 234% and closed with £468,880. The following year saw BaB raise £1,496,600 with an initial target of £600,000, so again overfunding and closing the round at 250% up. Both rounds closed early.