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Case Study: Kaos Solutions

Published: January 2008

Large Picture

David Hoggard (left), managing director of Kaos Solutions, company secretary Steve Knowles, chairman Mike Briercliffe and SYIF’s Jonathan Dixon

The Company

Kaos Solutions Ltd supplies innovative mobile phone applications to corporate clients who want to provide their customers with the capacity to make immediate service bookings.

Based on Fraser Road in Sheffield, Kaos Solutions has developed Room Angel, a mobile phone application that provides immediate 'in-pocket' access to booking hotel rooms without the need for Internet access or telephone calls.

Kaos Solutions aim to provide clients with the capability to book hotel rooms without calling a switchboard or using the Internet.

The Challenge

Room Angel is specifically designed for customers who need to make last minute, on-the-go bookings, otherwise known as chaotic transactions.

David Hoggard, the company's Managing Director, said: "The concept of Room Angel is to simplify chaotic transactions. It is the most convenient, easy to use, and often cheapest method of making a last-minute booking because you don't need to be connected to the Internet and you don't have to worry about getting through telephone switchboards."

The underlying Spontaneity Engine technology works when the user creates a request on the application. A few simple clicks transmits a Short Message Service (SMS) to request a booking, which yields a response from a hotel chain.

The offer can then be accepted with a simple click resulting in a firm and secure booking, complete with confirmation number, with the whole process using the equivalent of two text messages for the user. Room Angel also sends an email to confirm the booking.

The Solution

Kaos Solutions received a £100,000 investment from South Yorkshire Investment Fund to develop the Room Angel software as well as to finance research into other phone applications.

Jonathan Dixon, Deputy Chief Executive at SYIF said: "Room Angel is a fantastic concept and soon enough people will be able to get the full benefit of making quick, straightforward bookings and transactions.

"Kaos Solutions is driven by a desire to take technology to new frontiers and the innovations of David and his team are exciting developments that we are delighted to support."

Progress to Date

David added: "The investment from SYIF's Seedcorn Fund has gone into researching and developing the software, which is opening up capabilities to send flowers, change travel bookings, even bet on a horse, in a simple SMS application."

Room Angel is scheduled to go live in April 2008.

Editor's Notes

About South Yorkshire Investment Fund

South Yorkshire Investment Fund  provided seedcorn, loan and equity linked investments, ranging from £15k to £2.5m, specifically to help small and medium businesses meet the gaps in funding they need for growth and development.

Created as part of the Objective 1 programme, the Fund is a private and public sector business finance provider. The European Regional Development Fund and Yorkshire Forward are investors in the Fund.

South Yorkshire Investment Fund also provided access to Business Angel investments from the Yorkshire Association of Business Angels and Microloans through BiG Business Loan Fund and Donbac Microloan Fund.

Finance Yorkshire has now taken on responsibility for providing gap finance in Yorkshire and the Humber.

For further details please contact Suzanne Tinkler,  on 0845 649 0000.

South Yorkshire Investment Fund Ltd is a company limited by guarantee (Registered No 3936065). South Yorkshire Investment Fund comprises three sub funds, the South Yorkshire Investment Capital Fund, the South Yorkshire Investment Development Fund, which are each managed by YFM Venture Finance Limited, and the South Yorkshire Investment Small Business Fund, which is managed by Finance South Yorkshire Ltd. YFM Venture Finance Limited (Tel 0113 294 5000) and Finance South Yorkshire Ltd (Tel 01709 386 377) are each authorised and regulated by the Financial Services Authority. South Yorkshire Investment Fund also provides a number of services, which are not regulated by The Financial Services Authority. These include the pilot Seedcorn Fund, BiG Business Loan Fund, Mentorbank and access to the Donbac Microloan Fund. BiG Business Loan Fund is managed by Donbac Ltd (company registration No. 01925556) and Key Fund Yorkshire Ltd (Tel 0114 242 8900).