Rentify are one of Crowdcube's million plus club. £1.38m in 2016 to be precise. They were due to make heavy losses whilst they gained traction but it appears that subsequent funding has not materialised and now the company accounts show a deficit of £2.25m; up from £500k.
Rentify are also backed by Crowdcube's big daddy, Balderton Capital. Helps to keep it in the family.
Rentify are not a million miles off their p&l forecast - well £300k isn't a lot on Crowdcube. The main problem seems to be the lack of investment. Projections show the company having over £12m in share capital by YE Dec17 but the accounts are over £3m short of that.
Why Balderton have not reached into their deep pockets for this one is unknown. They have of course spent quite a sum on Crowdcube since 2016.
Rentify had £2.5m of current creditors and only a fraction of that in the bank or due. One of the major debts is to HMRC - around £160k in back taxes mostly related to the staff of 26 - this £160k being more than double the year before, when they had more staff. Trade debtors has fallen by 75% from £40k to £10k. Could be new systems or something else less helpful.
These are the same guys we wrote about recently who have made up their Trust pilot star rating. According to them it's a 5 star. According to Trust Pilot it is 3 star. Who believes star ratings anyway but you'd think they wouldn't make them up! Latest one posted is a 1 star. Our rule with these ratings and we have some experience in the last 20 years, is to look carefully at the poor ones to see if there is a common thread. Many of the good ones are set up and so are many of the rest but a thread leads to the truth. There is a thread with the 1 star ratings for Rentify. Onwards and sideways.
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