A controversial property crowdfunding platform, criticised in the past on TV's Dragon’s Den, has gone into administration.
The House Crowd was launched in 2012 and according to its website had seen 400 investments adding up to a total of £123.9m.
Its objective was to enable individuals to buy into projects which acquired, renovated and re-sold properties.
The crowdfunding site’s founder was Frazer Fearnhead, a former music industry lawyer who started investing in property in 1994 but in the early 2000s hit financial problems and sold his consultancy for £2m.
In 2015 Fearnhead appeared on BBC Two’s Dragons Den seeking a £1m investment from one or more Dragons in return for just five per cent of equity in The House Crowd - a business which at the time he valued at £20m.
He told the Dragons that the £1m would allow The House Crowd to raise up to £125m.
However, this was questioned by the Dragons who all held back from investing; one said that the proposition and pitch from Fearnhead was “the most disrespectful pitch from an individual...I never expected to hear and be offended in this way.” She went on to say it had been a complete waste of time.
Now The House Crowd is in administration with Quantuma Advisory Limited acting as administrator; the crowdfund website sets out ways for concerned investors to make contact.
The site says: “This website will be used to provide investors and creditors with information and is being updated when information becomes available on the administrations … With a large volume of enquiries anticipated, the Joint Administrators thank you in advance for your patience and cooperation at this time.”
You can see the administrators' notice here, and the ill-fated Dragon’s Den pitch here.
Frazer Fearnhead, a founder of The House Crowd property crowdfunding platform, has...
Last week’s acquisition of high-end agency Cluttons from pre-pack administration is...
Several agencies have announced expansion plans and new personnel as they...
Have you heard of the Pareto Principle…? Named after economist Vilfredo...
It’s tempting to think that Michael Gove’s proposed clampdown on Airbnb-style...
Councils across England could make an additional £540m a year in...
The vast majority of negligence claims against conveyancers are for relatively...
You don’t have to simply accept things as they are when...
From the uptick in house sales in January to a house price...
Happy birthday to us….and all members of the The ValPal Network! We...
With a combined value surpassing £7.4 trillion, the UK’s 29 million...
Let's be honest – landlords are the lifeblood of any letting...
%20-%20IMAGE%20Client%20Accounting%20%E2%80%93%20what%20are%20your%20options.jpg)
The benefits for letting agents to outsource their client accounting is...
When almost all agents and developers use the tried and tested formula...
I think we can all agree that the National Trading Standards...
.png)
As domestic battery storage systems become increasingly prevalent in UK homes,...
.png)
A team from The ValPal Network joined industry Facebook ads expert...
.png)
In this interview, Riccardo Dawson, Chief Operating Officer at Alto and...
A client account is essential to your lettings business, but the...
%20(002).png)
In today's fast-paced and ever-evolving property industry, it’s essential that forward-thinking...
As electric vehicles increasingly populate our roads and the necessity for...
As estate agents, it is important to make sure that your...
Estate agency has changed. No longer is it required to sit in...
Changes to consumer behaviour usually arrive in waves. Most of the...
At iamproperty we are excited to share the announcement of our...
In an exclusive interview with Estate Agent Today, Simon Coaker, Sales &...
It’s no secret – 2023 is a difficult year for the...
2023 has been coined as ‘the year of AI adoption’, and...
%20(002).jpg)
There are a few common questions that arise when the issue...
As a signage company we know we have a serious responsibility...
The Government’s mini budget on September 23 was anything but ‘mini’...
Agent websites have become more crucial than ever in attracting new...
Interesting report this week in Estate Agent Today on an analysis...
An anti-money laundering (AML) expert has queried why there is a...
MPs have launched an inquiry on improving the home buying and...
MPs have launched an inquiry on improving the home buying and...
The Law Society is facing backlash from conveyancers after issuing new...
An anti-money laundering (AML) expert has queried why there is a...
Who are you and what does it say on...
Who are you, and what does it say on...
Who are you and what does it say on your...
Join the conversation
Jump to latest comment and add your reply
Not the first property person to fail...whereisthemoniimoney
Whoops. Crowdfunding seemed to have its moment in the sun about five years ago and has been on a downward spiral ever since.
#you've been dun (up like a kipper)
ANother one like Lendy to go t~ts up
Please login to comment