RentGuarantor (RGG) , a provider of rent guarantee services to tenants including students, benefit claimants and retirees, announced its final results for the year ended December 31, 2023 (FY23).
RentGuarantor reported a 79% increase in revenues to £741k from £414k last year, driven by a 57% increase in tenant contracts to 1,124, and a 14% increase in the average contract price to £660. Arrear claims represented 2.32% of FY23 revenue.
In terms of operational performance, RGG reported 5 channel partner agreements and 42 partnership agreements with letting agents as of time of release. The group also said it had begun design and development of its 4th generation RentGuarantor Platform.
Paul Foy, CEO of RentGuarantor, commenting: "We are pleased to report solid result showing further significant growth in revenue. Our increasing number of strategic partnerships and expanding marketing initiatives have contributed to a substantial rise in the number of rent guarantees. Together with recent investment into our technology, RentGuarantor is well positioned for the future."
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RentGuarantor reports significant year-on-year revenue growth, building on similarly impressive FY22 results. The 79% surge in revenues, with tenant contracts up 57%, reflects growing demand for rent guarantee services. The company continues to expand its footprint and brand awareness through partnerships and product development, with its latest platform able to hand 1,000 applications per minute, supporting further growth in the B2B market.
RGG has successfully identified a growing problem, namely the difficulty many prospective tenants face in providing the necessary documentation and guarantees to landlords to secure tenancy. As many as 20% of prospective tenants are affected, with students particularly vulnerable due to a general lack of stable income and credit history. RentGuarantor acts as a middle man, using its proprietary technology to help both tenants and landlords.
The company entered FY24 with strong momentum, maintaining its growth trajectory YTD. As a result of capital raised in FY23, RGG maintains a positive cash position, and is advancing toward profitability, with losses further narrowing to £815k in FY23. In total, the 79% surge in revenues exceeded higher costs resulting from the group's rapid expansion and product development.
RGG attended 37 industry events in FY23 and was nominated for AQUIS Company of the Year at the "Small Cap Awards" in June 2023, and was a finalist at the AQUIS Showcase Awards in November 2023, reflecting its growing recognition in the industry.
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