Baselane, a financial technology company in New York City, helps independent landlords manage bookkeeping, collect rent and run analytics. On Tuesday the company announced that it added a banking platform to the mix.
Baselane Banking will let users open an unlimited number of checking accounts with no fees on cash withdrawals and transfers and no minimum balance. In addition, landlords can open dedicated sub-accounts for needs such as keeping separate funds for units or properties, saving for remodels or setting aside security deposits.
“With the launch of our integrated banking platform, users not only save significant time and money using one seamlessly integrated end-to-end solution, but they also get clear insights into their property finances to make better business decisions,” said Mathias Korder, co-founder and CEO of Baselane.
This service is another example of online banks that cater to a niche. Korder and another Baselane co-founder, Thorben Scheidegger, came up with the idea for Baselane when they led a project at their previous employer to launch a digital banking platform for small businesses. They observed that each small business type had unique needs that would benefit from tailored solutions.
Baselane can auto-tag transactions in bank accounts and debit cards into revenue and expense categories such as rents, fees, advertising, maintenance or taxes. Users will earn 0.15% on all deposits and 1% back on all spending with the debit card. Users can also receive rent, fees and security deposits directly into their Baselane account or connected external accounts. Baselane will incorporate account information from Baselane accounts as well as connected external accounts into cash flow analysis and expense-tracking tools.
Although the core services are free, Baselane makes money by taking a percentage of the processing fee it charges renters to pay via credit or debit card. It also plans to offer premium features for a fee and a marketplace of landlord and tenant services where the company can earn commissions when a customer uses a partner service.
Baselane was founded in 2020 and raised $7.9 million in funding. Blue Ridge Bankshares, a $2.7 billion-asset bank in Charlottesville, Virginia, holds the deposits.
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