CHICAGO--(BUSINESS WIRE)--NestEgg, a startup building the future of residential rental property management, today announced it has raised $7 million in Series A investment funding from a strategic group of fintech and proptech investors. Hyde Park Venture Partners led the round, with participation from Bonfire Ventures, BAM Ventures, Financial Venture Studios, Dreamit Ventures, and Hyde Park Angels.
NestEgg is an all-in-one platform that makes on-demand residential property management a reality for the 12M small independent landlords in the US. These independent landlords are often doctors, nurses, and young entrepreneurs who are investing in real estate as a long-term investment strategy. Instead of paying a large chunk of their cash flow to a traditional property manager or doing everything themselves at the expense of their time, small independent landlords are using the NestEgg platform to save time and boost cash flow.
NestEgg helps landlords automate all of their time consuming property management tasks in the following ways:
- Fully automating rent collection with unprecedented income guarantees that protect against late and missed payments
- Streamlining maintenance coordination and resolution with 24/7 support
- Simplifying administrative tasks including leasing, payments, and insurance renewals
- Financial services that boosts cash flow for landlords and offer rent payment flexibility for renters
On average, NestEgg saves landlords 90% of their time spent on their properties and increases their monthly cash flow by 10-30%.
This funding round will aid in the launch of NestEgg’s first-of-its-kind payment product for landlords called NestEgg Pay. For any maintenance or leasing expenses that a landlord incurs on their platform, landlords can now choose NestEgg Pay during checkout to pay off the expense interest-free over 2, 4, or 6 monthly installments.
For example, a $600 plumbing job can now be paid in six $100 installments seamlessly deducted from their rental income. NestEgg Pay allows landlords to worry less about cash flow crises and pay on a schedule that best fits their financial needs.
“With more financial pressure on landlords and tenants as a result of the current economic climate, it’s more important than ever for landlords to have access to tools that deliver strong cash flows,” said Eachan Fletcher, CEO & Co-Founder of NestEgg. “As small independent landlords ourselves, my co founders and I have built a platform that makes the income reliable and the management easy.”
Operating on a subscription-based model, NestEgg assures that landlords will receive rent by the first of the month, have the option to resolve maintenance issues using NestEgg Pros or their own contractors, and reduce the administrative burden small independent landlords face. The total number of landlords has grown by 300% in the past 6 months, despite Covid.
The recent funding will also go towards the vigorous expansion of their team, aiming to hire up to 40 new employees over 2021. This includes building teams that are focused on the landlords and resident experience, rent collection, NestEgg Pay, maintenance marketplace, research & development, marketing, and finance.
"The founders of NestEgg have a compelling vision to make owning residential rental property as easy as owning stock and bonds," said Ira Weiss, partner at Hyde Park Venture Partners, the lead investor in NestEgg's Series A. "This team spent years building tech products at Expedia, and are bringing the same creativity to the DIY landlord market. We are excited to be a part of NestEgg’s journey in bringing financial security and freedom to smaller, independent landlords across the nation.”
NestEgg is everything landlords need to manage their rental properties. Their platform helps landlords automate all of their time consuming property management tasks in the following ways: automating rent collection, streamlining maintenance, simplifying administrative tasks, and powerful financial services. The company is headquartered in Chicago and services landlord users across the United States. Learn more at https://nestegg.rent/.