ProntoPiso Raises €1.6M to Continue with its Funky Business Model

The Spanish hybrid agency ProntoPiso has announced that it has managed to raise €1.6 million from existing investors including Inveready and Sabadell Venture Capital as it looks to combat the effects of Covid-19.

The Barcelona based outfit founded in 2017 by Andrés Pla and Diego Paradinas has an interesting business model somewhat similar to knock.com in the US. The company fronts a home seller up to 95% of the value of the home to provide liquidity and smooth over their subsequent transaction for their new home and promises to sell their house in 90 days. If the house does not sell in that period then ProntoPiso takes the hit but if the house does sell it makes a commission if it does so at or above the asking price as well as the 6.5% of the transaction charged to the home seller. 

As Spain stands on the brink of what some commentators believe will be a heavy market crash, the money raised by ProntoPiso may prove crucial in expanding its agent network and delivering its liquidity solution to many more cash-strapped households looking to move.