After Series C equity funding round in April 2022, fintech company receives further backing through additional debt facility
NEW YORK, NY / ACCESSWIRE / April 26, 2023 / TheGuarantors, the fintech company building smart financial and insurance solutions for renters and landlords, today announced it has raised $35 million in growth capital financing from CIBC Innovation Banking. With the completion of this funding round, TheGuarantors has raised over $110 million in equity and debt financing - $85 million of which was secured in the last year alone. TheGuarantors' investors include Portage Ventures, Kensington Capital Partners, and White Star Capital.
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"We're extremely pleased to secure additional capital to power the continuing growth of our business," said Julien Bonneville, CEO of TheGuarantors. "In the context of economic turbulence and tight capital markets, additional commitment from such a high quality financing partner is a testament to the health and promise of our business. With our strong unit economics and diligent spend ethos we were already very comfortably capitalized from an equity standpoint, but this debt capital will help us build additional capabilities we will share later this year. We couldn't be more excited for what's ahead."
"Our team is delighted to be working with TheGuarantors as the company continues on its growth trajectory," said Eric Laflamme, Managing Director at CIBC Innovation Banking. "We are impressed by the team's vision and look forward to supporting TheGuarantors on this exciting journey."
Launched in 2015 in New York, TheGuarantors is working to improve renting affordability and access for renters across the U.S. The company estimates that five million households will struggle to get approved for rental housing each year based on their finances, and that renters have a collective $65 billion locked away in security deposits. TheGuarantors offers a suite of tools that help renters more affordably overcome these traditional barriers and qualify for the home of their dreams.
TheGuarantors has protected over $2 billion in rent and deposits, nearly $1 billion covered in 2022 alone. The company is experiencing 95% revenue growth YoY and boasts a 99% retention rate with real estate owner and operator partners. The company is investing heavily in product, engineering, and growth after raising its series C, and is on track to reach profitability with existing capital.
About TheGuarantors
TheGuarantors is a fintech company that improves affordability and accessibility for the 46 million American households that rent their homes. Through its platform and partnerships with multiple A-rated carrier partners, TheGuarantors offers renters and landlords a unique suite of financial tools. The company ranks on the lists of The Inc. 5000, Forbes' Best Startup Employers, and The Financial Times' Fastest Growing Companies.
About CIBC Innovation Banking
CIBC Innovation Banking delivers strategic advice, cash management and funding to innovation companies across North America, the UK, and select European countries at each stage of their business cycle, from start up to IPO and beyond. With offices in Atlanta, Austin, Boston, Chicago, Denver, Durham, London, Menlo Park, Montreal, New York, Reston, Seattle, Toronto and Vancouver, the team has extensive experience and a strong, collaborative approach that extends across CIBC's commercial banking, private banking, wealth management and capital markets businesses.
Contact Information
Amanda Knauer
Chief Marketing Officer
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SOURCE: TheGuarantors