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The Rent is Due


COVID-19 changed a lot about the way folks operate day-to-day, especially when it comes to how they do business. Many of these changes aren’t transitory. They’ve become a habit for some. Take contactless transactions. We have contactless everything now.

 

Contactless pickup from retail stores, restaurants, grocery stores. Contactless drop-off of deliveries. Contactless healthcare appointments. And even contactless real estate transactions.

 

Pandemic for some. Business boom for others. Boardroom name, Rentberry is a company capitalizing on the change in business habits. 

 

Rentberry is a real estate platform where all of the rental tasks are done entirely online. Users can negotiate/bid on rent, security deposits, take virtual tours, digitally sign leases, and pay rent. Instant decisions are another benefit.

 

The total addressable rent market is huge. Roughly 44 million rental units and $694 billion were spent on rent last year. The company has reported bringing 3 million daily properties and 500,000 monthly users onto its platform in 2020. Management stated a goal of 5 million daily properties and one million users for 2021.

 

While user growth is great to see, according to Rentberry’s recent S-1 filing, the company only generated $30,878 in revenue in 2020 while losing $1,385,419. The operating loss number was $2,035,952 and the net cash used in the business hit $2,447,396. That was $440,025 worse than 2019, so it’s no surprise the company is seeking an additional $36 million in three tranches over the coming months.

 

We’ll continue to keep an eye on their user growth progress and hope they are successful in their upcoming capital raises.

 

To learn more, check out this interview with Rentberry’s CEO HERE! 

 

Happy Investing!