United States: Clearing, a banking solution tailored to short-term rental operators, announced that it has secured an undisclosed investment in pre-seed financing.
The startup aims to help operators by putting accounting on autopilot and accessing real-time cash flow at the unit level.
CEO Benjamin Elbaz said, “This initial investment will help us accelerate our go-to-market strategy and provide an optimal experience for our early adopters.”
Drawing on their experience managing short-term rentals at hotel technology company Sosuite and in fintech at global management consulting firm McKinsey & Company, the two co-founders solve their own problem of managing 120+ units.
“Our mission is to help operators automate their accounting with a bespoke banking solution so they can focus on providing the best experience to their customers and expand their portfolio,” added Elbaz.
As operators and accountants spend “countless” hours each month classifying income and expenses into their respective units, the manual process has become “long, repetitive and error-prone”, according to the Clearing team. Yet, accurate bookkeeping is essential for viewing granular cash flow per unit, enabling informed decision making and accurate tax filing.
Sosuite CEO Simon Seroussi said, “With Clearing, we expect to save at least 15 hours of otherwise manual bookkeeping each month.”
Operators leverage Clearing to automate transaction categorization and access cash flow at the unit level, while controlling their spending with bank sub-accounts that can be turned on and off to avoid unexpected charges.
The platform is also synchronized with accounting software and soon with property management systems [PMS] to help operators maintain consistent records using external records.
Barsala Chief Revenue Officer Hussein Kalaoui said: “Compensation solves a real problem in this space. It’s also impressive what the founders built so quickly.
In the long term, the founders envision Clearing becoming a comprehensive income and expense management platform, including bill payment, accounting, lines of credit and seamless access to loans.