One of the key players in the ultra-competitive deposit alternative sector has announced a massive and new $11m investment.
Flatfair says that with the money - converted to over £9m - it now intends to dramatically boost recruitment of product engineers, data science and business development specialists. as well as developing new features for its platform.
Flatfair already boasts Spicerhaart, CBRE and many independent letting agencies amongst its users, along with Greystar in the Build To Rent sector. There have also been alliances announced recently between flatfair and insurance and tenant referencing service HomeLet as well as traditional deposit operator mydeposits.
The core of flatfair’s platform is a smart collection system enabling it to constantly receive updated debit card information from the issuing bank. Payments can be chased even if tenants switch card or accounts and if flatfair can’t collect owed monies from the tenant, it is insured by an A-rated insurer.
“Like much of Britain’s housing stock, its rental sector is stuck in the Victorian era. Thankfully, cutting edge payment technology can boost transparency, build trust and make instant move-ins a possibility” says Franz Doerr, co-founder and chief executive at flatfair.
The company was co-founded in 2017 by Doerr, previously at Deutsche Bank and McKinsey & Company, along with former Google employee Daniel Jeczmien.
Martin Mignot - a partner at Index Ventures, which led the funding round that produced the new investment - will join flatfair’s board.
Mignot has invested in electric scooter firm Bird, lift-sharing service BlaBlaCar and also serves on the boards of consumer tech companies including Deliveroo, Revolut, and KRY/LIVI. He was previously a director of Trainline, Swiftkey and Drivy.
The deposit alternative niche is fiercely competitive with other players including Zero Deposit and Reposit.