Boiler Plan secures more than £2m investment
Boiler Plan was launched in 2015 by Ian Henderson, a former heating engineer with 25 years’ experience, who became disillusioned with the industry, and left to launch his own business to fix what he felt were fundamental issues in the market.
The £2.15m investment comes from independent asset manager Maven Capital Partners, with £500,000 coming from the North East Development Capital Fund, managed by Maven and supported by the European Regional Development Fund. Boiler Plan will use the money to grow the company nationally over the next 12 months, with an ambitious plan to cover 90% of the UK by mid-2019. It will also develop its online platform, whilst simplifying the buying process for customers and product R&D.
Boiler Plan brings a market disruptive and customer-focused service to a mature sector, which until recently had seen little advancements in technology and service. The company provides an innovative online platform that provides an instant online quote along with recommended boiler types for your home. Its ‘digital first’ solution offers consumers a convenient way to complete the survey, without customers needing to take time off work to deal with engineer visits.
To make the purchase, which is typically an unexpected one, more affordable, Boiler Plan offer a range of low monthly financed payment plans to spread the boiler and installation cost. The payment plans can be paid over 1 to 10 years, with no deposit or upfront cost required and rates from 0% to 5.9% APR.
Boiler Plan’s teams of Gas Safe Registered engineers across the country take pride in the quality, quick and tidy installation work they complete, which can be turnaround within 48 hours if needed.
The UK domestic heating market is worth an estimated £3bn per annum, and from the end of 2016 until the end of last year, Boiler Plan saw an increase in revenue of 280% and has recorded a 33% average gross profit. Boiler Plan is one of the UK’s most trusted heating specialists with a Trust Pilot score of 9.6, their customers have rated their five-star service as ‘excellent’. Boiler Plan are also in the top ten heating companies in the UK – despite only launching three years ago.
Ian Henderson, Managing Director and founder of Boiler Plan, said, “When I launched the company, my mission was to deliver a service that takes the hassle out of boiler purchasing and care, with high-quality installation, at a convenient time, supported by excellent customer service – and this rings true today. We are simplifying the way to buy a new boiler and making it easy for our customers.
“At the moment we cover just under half of all UK households, in the North West, North East, Yorkshire and the Midlands. This investment is going to help us grow our business and make our offer available to more people across the UK, by allowing us to invest in more engineers, thus providing more jobs, as well as our technology and product development.
“The investment is going to help us reach far and wide – there are over 14 million owned homes in the UK. With an opportunity this big, millions of people can potentially benefit from our service.”
Alex Marsh, Investment Manager at Maven, added: “Boiler Plan has evidenced strong commercial traction in a short space of time and was one of the first of a small number of new entrants to disrupt this market with a digital solution. Most sectors have been disrupted to some extent now by digital and online solutions, and Boiler Plan’s innovative and customer focused platform has brought this choice to the heating market. The impressive growth the business has achieved since launching two years ago demonstrates there is a clear demand from consumers for this type of platform. Boiler Plan fits the mould of the dynamic and entrepreneurial businesses Maven seeks to support and we look forward to helping Ian and the senior management team add scale to the company.”
*Representative Example: Based on a Ideal Logic C30 Combi Boiler with a 2 year warranty and cash price of £1,758 less a deposit of £879 = loan amount of £879. Repayable by 120 monthly payments of £9.65. Total Charge for credit is £278.65. Total Amount Repayable is £2,036.65 (which includes the deposit of £892.50). A deposit is not mandatory, with no deposit contribution your monthly payments over 120 months would be £19.29. Total charge for credit is £557.29 and the total amount repaid (including interest) is £2,315.29. The interest rate is 5.9% per annum fixed. Subject to status.