The global property management software industry was estimated to exceed $13B in 2020, fueled by digital adoption as a result of the pandemic. Cumbersome processes that were typically handled via paper and pen were adapted to be more efficient for both landlords and tenants. RentRedi is an enterprise-level property management solution that’s suited for independent landlords that have anywhere from 1 to 100 units. The platform handles a wide array of responsibilities including rent payments and collection, listing syndication, tenant screening, maintenance scheduling, lease administration, and accounting. By centralizing these disparate functions, smaller landlords are able to provide tenants with the convenience, flexibility, and peace of mind that’s often found in larger developments. RentRedi presently supports 10K+ landlords that manage over 85,000 properties.
AlleyWatch caught up with RentRedi CEO and Cofounder Ryan Barone to learn more about the business, the company’s strategic plans, latest round of funding, which brings the total funding raised to $17M, and much, much more…
Who were your investors and how much did you raise?
This Series A round was led by K1 Investment Management with participation from TIA Ventures, Tribeca Early Stage Partners, and RiverPark Ventures. RentRedi has raised $12M for its Series A round of funding.
Tell us about the product or service that RentRedi offers.
RentRedi is a leading property management software company that helps landlords manage their properties and eases the renting process for both landlords and tenants.
With features like mobile and web apps, automated rent collection, free listing syndications, tenant screening, maintenance, credit boosting for on-time payments, lease signing, and accounting, RentRedi has created and scaled its platform to support its 10K+ landlords and has partnered with Propay, Realtor.com, TransUnion, REI Hub, and Latchel to create a better user experience.
What inspired the start of RentRedi?
Almost 20 million landlords are using spreadsheets or overpriced software to manage their properties. Not only does this hurt landlords’ bottom line, but it also makes providing exceptional service to tenants increasingly difficult as information is not streamlined.
We saw an opportunity to help solve a common problem we all have encountered, renting. We launched RentRedi in 2016 to alleviate the problem for both tenants and landlords, making the renting process easier for landlords to manage.
How is RentRedi different?
RentRedi is different from other players in the industry because our focus is on building features directly based on landlord feedback. This allows their tech to be more dynamic and constantly involved to solve the current, modern problems their customers face in the real estate market.
What market does RentRedi target and how big is it?
Independent landlords with portfolios ranging from 1 to 100 properties.
What’s your business model?
B2B.
What are your post-COVID office plans??
Currently, RentRedi plans to stay remote.
What was the funding process like?
We began the process in Q4 of 2021 by having initial discussions with VC and Growth equity firms in the proptech and fintech space that we felt could bring value. In early January of 2022 we began our formal pitch process reaching out to firms that best aligned with our vision. Once we had term sheets in hand, we chose the firm that we thought could help RentRedi become the leader
What are the biggest challenges that you faced while raising capital?
Each VC or Growth Equity firm has its own model/focus for what they feel is investable. Finding the right firm that aligns with the company’s vision and business plan can be a challenge. Asking the right questions in a pitch meeting is equally, if not more important, than making the pitch for funding.
Each VC or Growth Equity firm has its own model/focus for what they feel is investable. Finding the right firm that aligns with the company’s vision and business plan can be a challenge. Asking the right questions in a pitch meeting is equally, if not more important, than making the pitch for funding.
What factors about your business led your investors to write the check?
Ultimately, I think it came down to team, traction, and execution. We have built a great team that works hard every day to build the product and brand, our subscriber base grew 3x in 2021 and we are growing at 10% per month now. Simply put, our team executes.
What are the milestones you plan to achieve in the next six months?
With this funding round, RentRedi will scale its hyper-growth, mobile-first technology and ultimately transform the painful renting process for both landlords and renters.
What advice can you offer companies in New York that do not have a fresh injection of capital in the bank?
Build a minimally viable product and get it out in the hands of users so that you can get feedback. Then improve the product and get more feedback. If you can prove that the market is big, the product is great (low churn) and the team can execute, the capital will follow.
Where do you see the company going now over the near term?
2022 is about continuing the build ‘ team and product’ as we become the market leader.
What’s your favorite outdoor dining restaurant in NYC?
Uva, especially the gnocchi.
You are seconds away from signing up for the hottest list in Tech!
Sign up today
