Rentberry is a San Fransisco tech startup with a team of 23 and a lot of hype around it. Even Australian citizens and British lawyers know about Rentberry.
Rentberry is an online rental service where a landlord lists a rental space and potential tenants bid against one another to claim the lease. Tenants’ personal information is available to the landlord. The landlord then makes the final decision by weighing what the best offer.
According to the lawyers, Rentberry is not just a disruptor (all tech startups claim to be disruptors), but a destroyer of the rental market of affordable housing. One tenant rights lawyer described Rentberry’s website as “callous”, the BBC News reported. “As if life for renters in big cities weren’t hellish enough, a new Bay Area startup promises to make it even more of a nightmare,” Grist, an online environmental news magazine, wrote.
Finding the perfect apartment is about to become a lot more like The Hunger Games, says Vanity Fair about Rentberry, emphasizing that rental prices in the Bay area are “already obscene”. “How awful to promote something that aims to get the highest price on something that people need, – said Leah Simon-Weisberg, legal director for nonprofit renter rights group Tenants Together, to San Jose Inside. – Can you imagine if someone auctioned milk or medicine? People would be outraged.”
But professional investors know better than to believe every word of angry lawyers (who, by the way, also make money on ordinary people). If 23 professionals managed to make such a big splash, their company must have a good product.
Even in Australia they take Rentberry, which is going to launch its service there, seriously. Australia was a target market for the app because there were several investors from Australian shores, who told the company Aussies would “love the concept”, local media report.
The Australian launch is part of a global expansion for the start-up, which has already raised $4 million from investors. Among those who believe in Rentberry’s prospects are investors from a dozen countries, including principal of Carlyle Group, 808 Ventures, Beechwood, Ventures, and Zing Capital.
At present Rentberry is available in about 5000 cities across the US. It has over 224 000 listed properties and has processed more than 4000 applications. Rentberry’s services are transparent and easy to use both for tenants and landlords. By the company’s estimates, in 2018 it will expand in Canada and several Asian and European countries. By 2020 it intends to go globally.
Rentberry plans to expand internationally by partnering with other companies in the real estate space, acquiring competitors, and doing extensive marketing. The marketing channels include traditional media and social media channels (Twitter, Facebook, Instagram), influencer marketing and word of mouth.
To increase deal volumes and expand in new cities and countries, Rentberry has launched ICO process. It will offer to investor Rentberry tokens (BERRY) at the exchange rate 1 ETH = 2,500 BERRY. The minimum purchase amount is 25,000 BERRY (10 ETH).
The sale starts on December, 5 and ends on February, 28. For “early birds” there will be a bonus: 33 percent on Dec 5 – 19; 27 percent on Dec 20 – 26; 20 percent on Dec 27 – Jan 16; 13 percent on Jan 17 – 30, and 7 percent on Jan 31 – Feb 13. The company will accept ETH and BTC.
There will also be bonuses for big purchases, but they will be discussed individually with potential buyers.
The proceeds from the sale of BERRY tokens will be allocated to IT development (30%), to marketing and sales (20%), to acquisitions and partnerships (15%), to international expansion (12.5%), to administrative and operational activity (10%), to development fund (5%), to legal expenses (5%) and to Bug Bounty program (2.5%).
A market like Sydney – the most expensive place to rent in Australia – needs transparency, Rentberry’s CEO Alex Lubinsky said to www.domain.com.au. “By transparency I’m not necessarily saying higher prices, no absolutely not, what we showed in the US is that we actually save money of about 5.12 per cent for tenants”, he added.
ICO site: rentberry.cryptonomos.com