Unlocking a Key App

Two brothers and a best mate are the collective brains behind a smart app that makes rental property management easier and significantly less expensive.  They’re already eyeing up international markets.

Luke Nicholls and Aaron Rama have been best friends since kindergarten, and now, with Luke’s brother Sam, the three are on a business journey that has worldwide potential.

The genesis for Keyhook, their app that flips the traditional property management business model on its head, came when Luke and Aaron were dining out one night in 2019.

“I was a self-managing landlord at the time, frustrated by the lack of smart self-managing rental software available,” explains Luke. “The solutions out there were outdated and lacked innovation. We could see there was a gap in the market.”

They discussed a concept Luke had been working on for some time – a mobile app that automates key rental management tasks and simplifies the end-to-end rental experience.

“It means anyone can self-manage their rental properties with ease and efficiency,” he says.

The rental market has been crying out for technical innovation and evolution, and costs associated with outsourcing property management have skyrocketed with rent prices. The time was ripe to turn Keyhook into reality.

Showing an interest Sam, who lived in New York at the time, began helping out with market analysis and content in his evenings and weekends. But that interest quickly became a passion and he came home to New Zealand to stay involved.

After consultation with industry leaders and the public, the trio knew they had a winning app for both landlords and tenants and Keyhook was incorporated in October 2020.
 

Raising capital
Raising money and sharing your company vision with potential investors can be an exciting process, says Sam.

“When we raised our initial capital, we were in a unique position whereby we had an idea, a clear execution strategy, but a huge runway ahead of us. We knew that our idea was solid. We had backing from some of New Zealand’s most prominent business leaders, but we still had to get from concept to reality,” he says.

The trio made the decision to work with individual investors rather than institutions.

“We wanted to test out whether or not we were able to convince the private investor that we were onto something big, whilst retaining complete control of the company,” explains Sam.

“When raising privately, we made it clear to every investor that Keyhook is a Kiwi business with a global mindset. Our goal is to revolutionise what a basic rental experience is worldwide, and we reassured our investors that as founders we are relentlessly determined to achieve this goal.”

Keyhook’s initial investment was oversubscribed and the founders are happy to report they’ve since been inundated with additional investors wanting to get on board.

“We have another investment round opening in Q2 this year, and will use that to vastly accelerate our rate of growth,” says Sam.
 

Lessons and sacrifices
Luke recalls the countless nights and weekends sacrificed to get Keyhook up and running, and the overtime is ongoing to this day.

“Sacrificing time with family and friends, and saying no to events that I would otherwise love to be a part of has been one of the more obvious struggles with growing a business.”

The big lesson learnt is to have a kickass support network, he says.

“Once industry leaders and like-minded entrepreneurs heard about Keyhook, we’ve been overwhelmed by their support and eagerness to get involved.

“As any queries or difficulties have arisen this support network has been invaluable for leveraging the skills, advice and guidance of those who’ve been in similar positions to us. 

“Our professional support network, combined with a personal support network of family and friends that truly ‘get it’, is something I recommend every entrepreneur and business owner build around them.”

A solid partnership
Trust is the common foundation for any business partnership. As Luke says, he doesn’t need to know what Aaron is doing at every moment, because he knows he’s bringing everything he has to make Keyhook thrive. And vice versa.

It’s also important to ensure that everyone has the same long-term vision and end-goal.

“Being in sync with business goals ensures that each move you make individually is a move towards a common goal,” explains Luke.

Don’t beat around the bush either when it comes to expressing your thoughts, he says. “Always say what you think. There’s no time to waste by softening thoughts on anything. Just get everything out there and make a decision together as a team.
“Although it sounds silly, we believe this is a huge time-saver in the decision-making process.”

As for Keyhook’s future, Luke says they want to cater to different geographic locations and their associated legislation, wherever that may be in the world.

“First, we aim to change what is acceptable to both landlords and tenants in New Zealand by becoming the status quo for any rental experience. 

“By 2024 we aim to have achieved this goal and be exploring international markets, initially Australia, Canada, and the UK.”