Liverpool fintech firm wins share of £2m funding prize

A Liverpool fintech start-up has won a share of £2m in government funding aimed at the rental sector.

RentalStep, based in St Paul’s Square, is one of three finalists to share the fund, as part of the Government’s Rent Recognition Challenge.

The Dragons’ Den-style challenge tasked entrepreneurs to create a simple way for renters to record and share their rent payment data, to help them improve their credit score.

Launched in December 2017, the challenge was aimed at renters who are unable to get a mortgage because of their lack of a credit rating.

It provided an initial round of grant funding to six budding businesses to help turn their ideas into a workable product.

An expert panel of judges then whittled the six down to three, who today received a final package of government funding.

They are RentalStep, and London-based firms CreditLadder, and Bud, who will use their funding to further develop their businesses.

RentalStep is a landlord-tenant matching platform, which allows landlords to purchase a tenancy management service through the platform, and rental payments to be tracked and reported.

Founder and chief executive, and landlord, Mike Georgeson, said: “I started RentalStep because I saw that the current system needed improving for both tenants and landlords.

“I want tenants to benefit, like mortgage payers, from seeing an increase in their credit score, just by paying their rent on time.

“I want tenants to have a secure, online passport where all their verified rental history could be stored and shared with landlords.”

He added: “I want landlords to access a pool of verified tenants who pay their rent on time and keep their properties tidy.

“I want landlords to be able to create tenancy agreements and store all documents for free, securely, online.

“And so, I created RentalStep, to connect great landlords with great tenants.”

John Glen, Economic Secretary to the Treasury said: “Monthly rent is often the biggest expense that people face. Yet most lenders are unable to take it into account when working up a credit score.

“Three pioneering start-ups have found a solution, and we’re giving them the investment and support they need to help millions of renters across the country achieve their dream of owning a home.”

Charlotte Crosswell, chief executive of Innovate Finance and one of the challenge’s judges, added: “We are delighted to support the Rent Recognition Challenge and address this important issue of helping renters as they look to establish a credit history, helping their journey towards securing a mortgage in the future.

“The fintech sector has proven it can provide credible, innovative solutions and we are delighted that government has recognised that fintech companies have a significant role to play in this market.”