Arlington-based, $1.5 billion-asset Leader Bank has completed spinning out an in-house fintech, ZSuite Technologies, that offers software tools that help banks serve real estate owners and property managers.

At the same time, ZSuite announced it had raised $6 million in outside funding in order to start selling to banks and credit unions nationwide.

As part of the spin-out, ZSuite Technologies will bring with it the popular ZRent and ZDeposit products created by Leader Bank’s product development division. Together ZRent and ZDeposit offer landlords and property managers a platform to automate rent and condo payments, digitize security deposit account opening and aid state-specific security deposit compliance.

ZSuite’s C-suite will be staffed by a mix of fintech veterans and banking executives. Nathan Baumeister will be the firm’s CEO and Aaron Coleman will be its chief sales officer, both of whom served as senior leaders at Austin, Texas-based Kasasa. They are joined by Leader Bank’s former head of product development, Jessica Santana, as chief product officer. Baumeister will be joined on the board by Jay Tuli (founder and chairman of ZSuite and executive vice president at Leader Bank), Tom Shen (founder of Malauzai), Bill Neville (CEO of Loan Logics) and V.G. Narayanan (a professor at Harvard Business School).

“I’m excited to be working with a dynamic team of domain experts in both fintech and banking. In a world of competing fintechs and the migration from physical banking to digital banking, banks and credit unions need solutions that solve real world problems for their most profitable client segments. We are excited to help,” Baumeister said in a statement.

Leader Bank has been incubating fintech solutions since 2015, when it sought to attract more deposits and customers without expanding its branch footprint. In the last four years, ZSuite said in a statement Leader used those products to grow its core deposits by $100 million and its customer base by “thousands.” As interest in its products grew from other financial institutions, Leader Bank’s management team decided that the division needed to be fully independent as a non-subsidiary entity in order to grow and support other banks and credit unions.

As part of the launch, Leader Bank along with eight other financial institutions will join ZSuite Technologies as early partners, including StonehamBank, Opportunity Bank of Montana, New York state-based Seneca Savings, Needham Bank, Weymouth-based South Shore Bank, Chicago-area Marquette Bank, Southbridge-based South Bridge Credit Union and New Jersey-based Blue Foundry Bank.