Boom, a platform for reporting on tenancies, was successful in raising $4.5 million in a seed funding round. The co-founders of the financial services firm Plaid, William Hockey and Zach Perret, were among the investors in this round.
Starting Line, a venture capital firm that specialises in seed investments, took the lead in the funding round. However ,Clocktower Ventures, Company Ventures, and Gilgamesh Ventures were among the additional participants.
Renters in the US can use Boom’s special service to establish credit by paying their rent on time. Launched at the end of 2021, the company has seen considerable success, reporting to all three credit bureaus – Experian, Equifax, and TransUnion. According to Boom, users have seen an average increase of 28 points in their credit scores within just two weeks of using the app.
The company expects to use the fresh funding to develop and launch housing-focused tools for renters and NOI-focused products for real estate operators. Over the last year, Boom has built a strong subscriber base for its $2-a-month offering, experiencing a growth rate of over 450%. In addition , It’s approaching a $1m revenue run rate and has formed partnerships with industry heavyweights such as Progressive, Apartment List, and national property management companies.
Boom CEO Rob Whiting said, “We invested heavily into building our end-to-end software solution for rent reporting and consumer app layer . Now we’re focused on revolutionising the entire Renter Experience, from both the renter and the apartment operator perspective. This funding will help us accelerate our roadmap.”