StepLadder, a peer-to-peer solution to help more first-time buyers on to the property ladder, has raised £250,000 in pre-Seed funding.
The company, which claims to help reduce the average time taken to raise property deposits by 45%, raised funding from early-stage investor Seedcamp.
Matthew Addison, founder of StepLadder, said: “If we’re going to put a dent in Generation Rent, maybe it’s time for a truly alternative and collaborative approach – even if it means trying the unfamiliar.
“Importing our solution to this national problem could make a difference. We know ROSCAs work – over 70 countries worldwide have their own local names for them and they’re used everyday. There’s every reason to believe StepLadder Circles can work here, and make an impact. First time buyers could come to understand that they are stronger together.”
Tom Wilson, a partner at Seedcamp, said he was delighted to have backed the startup and support the team through the next stage of growth.
“We have made a number of investments across the property technology space and see huge potential for this solution tackling the issue of deposits – a particular pain point for first-time buyers through an innovative peer-to-peer solution.
Digital Risks gets £2.25m to automate insurance buying process
“We love the idea of a strong community of property purchasers and believe StepLadder is incredibly well placed to build a market-leading, trusted brand to support this underserved sector of the market,” he added.
StepLadder’s raise comes after Ahauz, a fellow PropTech startup doing something similar, announced the closure of a £2.9m round from investors including Forward Partners.
Check out our UK tech investment tracker for the latest industry deals.