Source: Business Wire
Calgary, AB – Zenbase, a leader in flexible rent payments, today announced that it has secured $4.1 million in seed funding led by Global Founders Capital. With this seed round, Zenbase will expand beyond Alberta, Manitoba, and Saskatchewan, into Ontario, British Columbia and the Maritimes.
Zenbase enables the most flexible rent payments ever and delivers rent day bliss on the first of the month by allowing residents to split their monthly rent payments. They can pay on a personalized rent payment schedule reducing their financial stress and improving resident satisfaction. Zenbase partners with property management companies to increase on-time rent collections and eliminate operational overhead.
Global Founders Capital (GFC) led the funding with other investors contributing, including Garage Capital and N49P.
Since Zenbase launched, it has saved more than $700 at an annualized rate per resident by having them avoid overdraft and late fees. In addition to the rent product, more than 40% of Zenbase members have also used its fee-free cash advance service to cover utilities, groceries and gas.
Koray Can Oztekin, CEO and Founder of Zenbase, said: “It’s expensive to be poor with late rent payments costing a resident as high as $150 each time. We are leveling the playing field by giving Canadians the flexibility that they need without getting penalized. We pay a resident’s rent in full on the first of the month, eliminating late rent payments for property managers. The resident then has 30 days to complete their rent payments with us and can align them with their paydays if they like. It’s a win:win for the residents and property managers.”
Alexander Mcisaac, Partner, Global Founders Capital, said: “More than 50% of Canadians are living paycheck to paycheck and housing stability is crucial for them to achieve financial health. Zenbase delivers financial solutions to these communities helping tenants save money and increase financial security. Following a nationwide increase in the cost of living and rent hikes, their platform is more needed than ever.”
Zenbase, a leader in flexible rent payments, is committed to economic inclusion that fosters financial empowerment for renters. Our solutions improve the financial wellness of renters while improving operational efficiency for property managers. Rent is usually due on the 1st of the month but that doesn’t align with most people’s bi-monthly pay cycle. We’ve fixed that misalignment and provide other financial tools to help level the playing field.
Philipp Postrehovsky | Zenbase COO
Philipp is a marketing leader, brand builder and product visionary who has been involved in the fintech scene for over 17 years. In 2013 he co-founded RentMoola, which continues to be one of North America's leading fintech companies with the mission to eliminate the rent cheque and modernize rent collection for the enterprise. Before that, he was a marketing leader for Mogo Technologies, Wonga Canada and began his career at Electronic Arts. Most recently he was SVP, Marketing at Progressa and VP, Digital Marketing at goeasy. He founded Grind For Kids, a program that raised over $1 million for BC Children’s Hospital Foundation and is a mentor to new entrepreneurs.