Snappt, a property technology company offering fraud detection for property managers, today announced it has secured $100 million in Series A funding, led by New York-based global private equity and venture capital firm Insight Partners. The new investment will be used to accelerate product development, increase sales and marketing efforts and expand market reach.
The company’s software helps property managers screen tenant applications and detect when financial documentation, such as pay stubs and bank statements, have been fraudulently altered. This helps property managers avoid bad debt and costly evictions, and keeps high-risk residents out. Currently, one in eight applicants commits application fraud, the company said. By detecting this fraud, Snappt said they helped its customers avoid more than $105 million in bad debt in 2021.
More than 1,000 multi-family communities use Snappt.
“Our vision is to dramatically lower the number of fraudulent tenant applications that go undetected, helping our customers save millions in eviction costs and minimize risk,” said Daniel Berlind, CEO and co-founder of Snappt. “Insight Partners’ alignment with this vision will enable us to scale and continue the momentum.”
“Snappt’s ability to detect forged documents is revolutionizing the rental screening process. Their solution addresses the biggest challenge for today’s property manager – lowering eviction rates and thus reducing bad debt,” said Thomas Krane, managing director at Insight Partners. “Snappt has the right mix to become a major force in the real estate market: an experienced executive leadership team with a proven track record in the property management sector, a highly-unique software solution and viral product-market fit. We look forward to partnering with Snappt as they continue to grow.”
Insight Partners is a global software investor partnering with high-growth technology, software, and Internet startup and scale-up companies As of Feb. 24, the closing of the firm’s recent fundraise, Fund XII, brings Insight Partners regulatory assets under management to more than $90 billion.
The firm has invested in more than 600 companies worldwide with more than 55 portfolio companies holding an IPO, they said. Headquartered in New York City, Insight has offices in London, Tel Aviv, and Palo Alto.
