Arkhaus Is Building the Most Exclusive Clubs on the… Water?

Thinking about investing in Arkhaus, the startup building exclusive floating clubs.

We’ve all heard the story of Atlantis, the city at the bottom of the ocean. Obviously, that disaster could have been avoided if they just built the city to float. Jokes aside, long ago that would have been something far out of reach, but today, maybe not so much. Arkhaus is a startup looking to build the next generation of clubs and entertainment… with a twist. Arkhaus is looking to build out a new genre of clubs and entertainment entirely built over the water.

I personally had the pleasure to sit down with their Co-founder & CEO, where he pitched me his startup! You can watch the whole thing here and receive the pitch while you decide to invest in real-time. Watch the pitch, check out their campaign, and consider investing alongside the pitch like a shark!

What is Arkhaus?

As previously explained and further shown in the video, Arkhaus is a startup creating a water-focused club and entertainment platform. Their initial plan is to use ArkUp’s livable yachts to create an exclusive subscription-based clubhouse on the water.

One underrated benefit of this platform is its mobility. They can be endlessly connected to increase capacity in high-demand areas and moved around to capture seasonal demand. They plan to launch some of their first clubs in Miami and New York, but New York is cold in the winter. This model allowed them to move boats down the coast to meet seasonal demand in southern states instead of keeping the boats in low-demand areas.

Why is Arkhaus an exciting investment?

The secret sauce here is a first movers advantage and the barriers to entry around this concept. Nobody else has a floating club, and since it’s so original, it will be harder to copy without being incredibly obvious. That doesn’t necessarily mean nobody will ever copy this idea, it just means it there will be a stigma around the other clubs that do copy the concept.

Further, since these are floating clubs, their jurisdiction, oddly enough, falls within the Coast Guard. This means once they get approval from the Coast Guard, they can launch these all around the country without much further legal barriers. The video best explains this concept, but it means there is less competition for real estate costs, and they can get some of the most exclusive spaces that wouldn’t be available to traditional clubs.

Is Arkhaus a good investment?

Startup investments are incredibly risky, so it’s best to understand your own personal investment goals before considering an investment in a startup. However, Arkhaus has been doing incredibly well. They have already pre-sold all of their yearly membership for their first club and have an incredibly low customer acquisition cost. This means there is seemingly no shortage on demand, and they can easily and profitably fill the club memberships. So while it’s likely going to be several years before anyone sees a return, there isn’t any concern around demand, fortunately.

The video above details a lot of specifics about the company, so it's definitely a good resource for any more specifics regarding the investability of the company.

Photo by Simon HUMLER on Unsplash