US-based property rental service provider LeaseLock closed a $10m series A round on Monday featuring insurance firms Liberty Mutual and American Family.
Venture capital firm Wildcat Venture Partners led the round, which included Hivers and Strivers, which provided $1m, and Moderne Ventures. The corporates invested through subsidiaries American Family Ventures and Liberty Mutual Strategic Ventures.
Founded in 2013, LeaseLock has designed a property rental platform that allows tenants to pay a monthly fee as security on qualifying properties, rather than putting down a deposit as part of the tenancy agreement.
Unlike traditional rental bonds, tenants do not get the money returned when they move out, but the payments effectively act as insurance against property damage or non-payment of rent.
The funding has been earmarked for expanding sales and marketing as LeaseLock prepares to build out and accelerate product development. The company has now raised a total of $12m, it said, including $1m in a December 2016 seed round led by American Family Ventures.
Reichen Kuhl, founder and chief executive of LeaseLock, said: “LeaseLock is creating a new category by applying technology to improve the way renters and properties transact – making it faster, simpler and more cost-effective for both parties.”