PropTech pioneer an offshoot of online fundraising FinTech

by wrich
Editorial & Advertiser disclosure

Real estate players around the world will have picked up on the rise of PayProp, an aggressively expanding PropTech platform for property managers. Buoyed by its recent international successes, the automated, bank-integrated rental payment processing platform has been going since 2004.

What’s less known about this innovative platform is that its technology is based in part on GivenGain, the non-profit fundraising platform founded by the same pair of entrepreneurs who started PayProp.

Global successes
So who and what are PayProp and GivenGain?

The two organisations were started by South African brothers Johannes and Jaco van Eeden –GivenGain in 2001 and PayProp in 2004.

PayProp
Today, PayProp is trusted by thousands of property professionals worldwide to automate their rental collections, accounting and outgoing payments on behalf of owner investors. The platform currently processes more than £1.7bn a year in client funds.

What’s the reason for its success?

“PayProp’s service is hardwired into the banking system for increased transaction speed and complete accuracy of account values at all times,” says Neil Cobbold, Chief Sales Officer of PayProp.

Calling it a “client account on steroids”, Cobbold explains it combines automated rent collection (via its Tenant portal, bank transfers and Direct Debits); automated accounting (smart deposit recognition and beneficiary allocation); and automated banking (approval and distribution of all pre-reconciled payments in a couple of clicks).

Based on this value proposition, the company built up a leading share of the South African market early on, and from there branched out to the UK in 2015, Canada in 2018 and the United States in September 2019.

The road ahead looks good. In the UK, the company has already established itself as the leading rental payment platform, recognised by industry bodies including Propertymark, The Guild of Property Professionals and the Scottish Association of Landlords. That recognition has helped attract some of the biggest groups in the country including Hunters and Belvoir, processing on average £90m of payments on behalf of letting agencies across the UK each month.

Since launching in the US, PayProp has expanded state by state, with the platform now available in Florida, Texas and Georgia, and coming soon to Alabama, Missouri and Illinois. Since landing in the US, it has pulled off some stunning partnerships, platform innovations and business achievements.

In 2020, after first partnering with regional bank Bank United, PayProp signed Bank of America as its nationwide banking partner in 2020, offering advances such as next-day payments to same-bank beneficiaries throughout the US.

Since then, PayProp has been named a global Approved Supplier to franchisees of RE/MAX, a global real estate giant with more than 100,000 agents operating in more than 6,800 offices in 100 countries.

The company has also launched multiple technological innovations in the short time since it landed in the US, such as cheque payments to owners, regardless of how the rent was paid; automated 1099 tax reports for owners; hugely successful mobile text notifications to tenants in arrears; and a global launch of its application programming interface to allow integration with other software products.

GivenGain
In turn, the GivenGain Foundation has had phenomenal success of its own over the last year, based on a solid value proposition that has travelled just as well as PayProp’s – namely to provide a platform for charities to automate the solicitation, processing and management of donation income via direct donations and peer-to-peer fundraisers.

Today, it has donors in 194 countries supporting charities in more than 80 countries, and events in 27 countries. After signing on as the official fundraising platform for the Detroit Marathon in 2020, it now also powers the fundraising element of the Boston Marathon, which is expected to raise more than $30m again this year. Aside from the 20,000 qualified runners, a global field of 70,000 virtual runners will participate and fundraise for the Boston event.

GivenGain also provides online crowdfunding services to many big charities around the world, including the American Red Cross, UNICEF, WWF, the New England Patriots Foundation, the International Anti-Poaching Foundation, the Missing Children Europe, Médecins Sans Frontières, the Red Sox Foundation and the Boston Celtics Foundation.

Payment revolution x2
Cobbold says the bond remains strong between PayProp and GivenGain.

PayProp provides GivenGain with infrastructural, financial and resource sharing support, while GivenGain acts as the non-profit foundation of PayProp and the Humanstate Group it forms part of. GivenGain offers all PayProp and Humanstate staff the opportunity to volunteer one day a month and to fundraise – both to give back to the group’s communities and to help bring the geographically distributed group together through virtual events.

PayProp and GivenGain also share the same vision of overcoming barriers through automation.

“Like a charity, payments are among a property manager’s biggest frustrations and opportunities. And by and large, the solution is the same for both,” says Cobbold. “While PayProp speeds up the collection, accounting and banking of residential rental income, GivenGain automates charity donations and amplifies their reach by enabling their supporters to fundraise for them.”

“If you can automate the core task of collecting and processing rental or donation income, you can scale your operations and market exposure, plus save lots of time to spend on your core marketing, sales and customer service activities. PayProp’s UK clients grew by an average of 25% in 2020.”

Value proposition
Armed with this clear value proposition and a platform that shares much of the same underlying code, PayProp and GivenGain have been making their customers’ jobs easier through payment automation for the better part of the last two decades.

“Sometimes a technology is so powerful that it has cross-over appeal in a completely different industry and geographic region.” Neil Cobbold, CSO, PayProp.

By investing in PayProp’s robust and proven payment automation for their business, real estate business owners and property managers can help support a foundation that helps process millions for charities around the world. To learn more PayProp and GivenGain, visit www.payprop.com and www.givengain.com

About PayProp
PayProp was launched in 2004. Since then it has grown quickly to become a leader in rental payment processing and back-office automation for the property management industry, and today serves a large and diverse customer base of property managers and real estate businesses. Our platform sets the standard for speed and accuracy of transaction processing as well as posting and reconciliation of pay-outs, offering property managers complete transactional control and regulatory compliance. PayProp is part of the Humanstate Group, an international private technology services group with subsidiaries in the United Kingdom, United States, Canada, Switzerland and South Africa.

About GivenGain
Founded in 2001, GivenGain is a Swiss-based non-profit foundation with team members working out of Switzerland, the US, the UK, Canada and South Africa. We started with a simple idea: to enable global philanthropy by providing a platform that simplifies global giving and fundraising. Since 2001, the platform has assisted donors and fundraisers in 194 countries to assist charities in 70 countries. The platform enables public events like running and cycling races and their participants to fundraise together for charities of their choice.

About Humanstate
PayProp and GivenGain enjoy the support of the Humanstate Group, an international private technology services group that combines state-of-the-art Web-based applications with on-demand payment processing. The Humanstate group employs 140 professionals in 5 countries and processes more than GB£1.7 billion annually.

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