Obligo, a U.S.-based fintech startup that’s focused on the real estate market, announced on Tuesday it raised $15.5 million Series A funding round from investors, including 83North, 10D, Entrée Capital, Viola Credit, and other strategic real estate investors. This latest round of funding comes just a little over two years after Obligo raised $5 million.
Founded in 2017, Obligo describes itself as a fintech startup that is harnessing “start-of-the-art” open banking technologies to rid both tenants and landlords from the burden of security deposits.
“Owners and managers use Obligo to streamline their operations, comply with changing regulations, make their listings more appealing to renters, and incentivize renewals. As the only non-insurance deposit alternative, Obligo’s credit-based solution keeps landlords secure and renters accountable by combining Open Banking technology with AI-based underwriting and collection capabilities.”
Obligo noted that since launching its solution in 2018, it has established partnerships with various propter managers across the U.S., including Beam Living (StuyTown), Aimco, Common Living, Olshan Properties, AJ Clarke, Time Equities, Hunter Lafayette, and Landmark Communities. While sharing more details about the service, Roey Dor, CEO of Obligo, stated:
“With the economic impact of the COVID-19 crisis, deposit-free renting has never been more relevant. We can help families avoid the burden of paying a security deposit at move-in, or return their deposits in the middle of their lease. Landlords that utilize our technology enjoy reduced operational costs and are able to promote their properties as deposit-free communities, providing a powerful incentive that drives both move-ins and renewals.”
The investment round’s funding will be used to continue the growth and development of the Obligo platform.