- Investment sought:
- Equity offered:
The Clubhouse is one of London’s leading business clubs, lounge and meeting spaces offering a new way of doing business, and the smarter alternative to a London office.
Designed to meet the requirements of growing businesses of all shapes and sizes, we provide a luxurious, professional space with complimentary WiFi, refreshments, tea, Nespresso coffee, and a dedicated team on hand to attend to our members' every need.
At The Clubhouse you can meet and work in an inspiring and productive environment, where business gets done and professional relationships can grow and flourish.
Are cafés, coffee shops and hotel lobbies really the right place to be meeting important clients? Perhaps you have an office outside London, work from home or just need alternative meeting space in the heart of town?
This was the problem faced by the Founder & CEO, Adam Blaskey who for years met his clients, contacts, partners and investors in hotel lobbies and coffee shops around central London.
At The Clubhouse our aim is simple: To make our members and their businesses more successful by giving them everything they need from a central London office - and more - but without the overheads typically associated with a premium office location.
Substantial accomplishments to date
Having launched in October 2012, The Clubhouse currently operates from two locations in Mayfair and is home to some 250 companies, from start-up and early stage businesses through to fast growth SME's and successful multi-national organisations such as Samsung and Tesla.
We have a number of revenue streams which we feel is important to the success of any business: we don't place all our eggs in one basket.
Our largest revenue stream (c.50%) is through the sale of annual memberships which provide access to The Clubhouse. Our memberships range from £2,450 pa (for an Individual Club membership offering access 1-2 days pw / 75 days pa through to £7,950 pa for a Corporate House membership which provides daily access for a company or team of up to 5 people.
Our second largest revenue stream (c.30%) is derived from our meeting room business, where we charge £50 - £75ph for a meeting room. We also allow the use of our meeting rooms by non-members who pay a £10ph supplement and who currently account for c.20% of our meeting room sales. We have hosted regular meetings for Arcadia Group, Mondelez, UBS, Lazard, Victoria Beckham, and Smith & Williamson.
The remaining 20% of sales are derived from our virtual office solution which provides members with a London address and telephone number, events, catering and affiliate partnerships formed with other businesses.
Use of proceeds
From the funds raised, we will continue to develop and grow The Clubhouse by securing a new location in St James's along with opening The Clubhouse in The City, where we have found a potential site close to Bank and Cannon Street Station.
At the same time, we will grow our team and invest in further marketing to build awareness of The Clubhouse, our brand and our offering.
Please note that the company has two share classes: Ordinary Shares and A Ordinary Shares. Investors in this round will be receiving Ordinary Shares which have full voting and equity distribution rights. The Founder holds the A Ordinary Shares, which carry a limited right to be paid a dividend separately and in priority to the holders of the Ordinary Shares subject to the following: (i) it can only be paid for the purpose of remunerating the A Ordinary Shareholder; (ii) it must be approved by the board; and (iii) it cannot be more than £250,000 per year.
We have identified six archetypal members of The Clubhouse:
They have important clients and want somewhere impressive and business-like to meet them in the heart of London.
They want to get out of the home environment into a professional working environment and meet like-minded people.
They need a well-located London base from which to go and have client meetings and work at in between meetings.
These are natural networkers and use The Clubhouse for the connections they can make, in order to grow their businesses.
These are people who are looking to save money by closing or down-sizing their London office but still want a central London presence, or don’t have sufficient meeting room space at their current offices.
Start-ups and early stage companies who want an office base whilst in the early stages of growth, and who will move on to take their own offices.
Characteristics of target market
The market opportunity is significant:
- There are 4.5m self-employed people in the UK.
- Circa 550,000 new business started up last year
- Mobile technology and cloud computing have changed the way people work, allowing for much more mobile and flexible working.
- In The City of London, the amount of serviced office space has quadrupled since 1995 and is set to double again over the next 10 years.
- 2,250 businesses employing 18,000 people (average of 8) are currently based in serviced offices in The City – with many more using coffee shops and hotel lobbies.
Since we launched in 2012, The Clubhouse has largely grown by word of mouth. Currently home to 250 companies, and 825 individual members, we have also welcomed around 15,000 people through our doors.
More recently we have looked built awareness further by:
- Proactive marketing campaigns with carefully placed adverts in The FT, British Airways Business Life magazine, Management Today and others.
- Committing further resources to PPC campaigns and digital marketing
- Marketing regularly to our proprietary database of 15,000 people who have been to The Clubhouse.
- We host monthly guest speaker events for our members, guests and prospective memebrs and have hosted evenings with Luke Johnson, Nick Jenkins, Sinclair Beecham, Justin King, Paul Lindley and Lord Bilimoria to name but a few.
- We have sponsored prestigious awards such as the UK Private Business Awards and have aligned ourselves with a number of business networks.
The Clubhouse has quickly become one of London's leading business clubs, lounge and meeting spaces at a time when the traditional serviced office market has undergone significant change due to the number of new entrants offering creative and affordable co-working spaces such as WeWork ($10bn valuation) giving the incumbents such as Regus a run for their money.
However, The Clubhouse is predominantly a 'flexible meeting space' rather than a 'co-working space' and we see very little direct competition by others doing what we do, in the way we do it.
By appealing to more established businesses rather than start-ups, focusing on everything a business needs, being driven by the needs of our members, and offering the very highest levels of service to our members, we have just been shortlisted as a finalist in the London Venue Awards in the categories of ' Best Business Club' and 'Best Board Room, Meeting or AGM Venue'.