Rental deposit platform Fronted is the latest casualty of the Coronavirus crisis after announcing that the business has been mothballed and most of its staff furloughed.
The company revealed its new service in December, saying it would help tenants pay their rental deposit by splitting it into more affordable chunks.
Fronted was due to soft-launch last month with a limited number of tenants and with the support of the Financial Conduct Authority’s tech start-up arm.
But the Coronavirus pandemic means few people are moving home even in the rented sector, and the FCA now has more pressing issues to deal with including battling to help growing numbers of people afford the basics.
In an email to its registered database, founders Simon Vans-Colina, Jamie Campbell and Anthony Mann (pictured) have revealed that the company is to go into ‘hibernation for a few months’.
“When we re-emerge from this crisis our world will be different. People will need a change after months of isolation and opportunities in cities for work and education will return. The world we will inherit is a world where Fronted still fits,” the trio say.
“Everyone needs to stay safe and stay put. During this time, we will continue to support renters with educational and factual content, and we will raise awareness of your rights while things are more confusing than usual.”
Their tech uses Open Banking technology to enable Fronted to assess a tenant’s financial health prior to lending them their tenancy deposit.