Saudi-based property technologies platform, Ejari, announced it closed a $1 million pre-seed round led by Sanabil 500 MENA and Hambro Perks’ Oryx Fund, in addition to the participation of several angel investors, a company statement said.
The prop-tech company Ejar (which means my rent in Saudi language), is offering a Rent Now, Pay Later (RNPL) solution for residential rentals, addressing the need for more flexible payment options in the Saudi rental market. The rigid payment structure makes paying rent prohibitive and expensive for many tenants including people early in their careers and young families, according to the statement.
Ejari was founded in 2022 by Yazeed Al-Shamsi, Fahad Albedah, Mohammed Alkhelewy, and Khalid Almunif and is based out of Riyadh.
The platform launched its RNPL service in the second quarter of 2023, receiving its license from the General Authority for Real Estate in Saudi Arabia, after having noticed that Saudi rental contracts are typically paid annually or semi-annually.
Established in 2017, the General Authority for Real Estate is a Saudi government agency that regulates rules and stimulates investment in the real estate industry in Saudi.
Ejari’s RNPL service allows tenants to pay their rent monthly and landlords to receive their yearly rental payment in full before the tenant moves in. The service offers tenants the financial flexibility to manage their cash flow better and lowers moving-in costs. While landlords may stand out in a competitive rental market, attracting more applicants due to the availability of flexible payment options, according to its website.
Ejari CEO Yazeed Alshamsi commented, “Our vision is to democratize access to the real estate market with our solution, empowering and enabling tenants to change their rental bill from a large yearly expense into a manageable monthly one. We perceive this as a billing problem. All our bills, from utilities and phone bills to credit cards, are paid monthly, with the exception of their rental bill.
“Simultaneously, our platform aims to enhance landlords’ ability to rent out their properties faster and retain their best tenants for longer, fostering the development of a thriving Saudi rental ecosystem,” Alshamsi continued.
“With this recent funding, we are well-positioned to accelerate the growth of our Rent Now, Pay Later service and expand into other innovative prop-tech solutions. We remain dedicated to delivering cutting-edge customer-centric solutions in the property technologies sector as we progress,” he added
The tech prop company is a participant in the 10th batch of Saudi Telecom Company’s (STC) InspireU accelerator program. Earlier in the year, Ejari won 1st place at the Customer Experience Digitization Challenge, part of the Real Estate Innovation Challenge sponsored by the Saudi Real Estate General Authority (REGA) and the Saudi Small and Medium Enterprises General Authority (Monsh’aat).
If you see something out of place or would like to contribute to this story, check out our Ethics and Policy section.