RentRedi Raises $12M in Series A
The round brings investment in the property management software provider to $17 million.
Startup property management software firm RentRedi announced that it raised $12 million in a Series A round, bringing total investment in the company to $17 million.
K1 Investment Management led the round, with TIA Ventures, Tribeca Early Stage Partners and RiverPark Ventures. The previous $5 million came from a pre-seed and three seed rounds, led by TIA Ventures and Tribeca Early Stage Partners, according to Crunchbase.
RentRedi focuses on mobile property management for residential rentals through an app with such features as property accounting, rent collection, tenant screening, applications, maintenance coordination, renter insurance, and e-sign leases.
A tenant app allows mobile or cash rent payments, payment scheduling, rental applications, renter insurance, and communications updates from landlords. Neither the management nor tenant apps are designed or intended for other CRE sectors, such as office, industrial, or retail.
A father-and-son team, CEO and CTO Ryan Barone and CMO Ed Barone, co-founded the company in 2016 when the younger Barone was still in college and trying to gather necessary documents to rent an apartment with some other students. Since 2020, they claim more than 10,000 subscribed landlords and 85,000 properties.
RentRedi has also partnered with such platforms as ProPay, Realtor.com, TransUnion, REI Hub, and Latchel.
While the company describes its offerings as an “all-inclusive landlord-tenant app,” the context is specifically in what specialist venture capital advisory firm Proptech Capital describes as the supervise category. This is an operational offering, as opposed to search—for example, such things as brokerage services, valuation and analytics, or financing—or sell—agents, insurance and closing, buyer solutions, or equity release.
Given the focus, that could mean an eventual exit strategy of selling to or merging with either a big property operator or a well-funded software play in one of the other areas that thought the breadth of offerings would provide market synergy.
There is also competition from such rental management and CRM platforms as Yardi, Knock, Rentec, Buildium, or DoorLoop.
The additional funds might help RentRedi build out capabilities that aren’t currently in its portfolio. For example, virtual and remote touring have become important to some of the platforms and more in the marketing area than RentRedi, which focuses more on tenant screening, rent collection, and maintenance scheduling.