Carmoola, the net automotive finance start-up created by a team of British and Ukrainian former Movebubble and Zoopla executives, has secured an additional £15.5 million in enterprise capital funding.
The UK-based fintech which specialises in direct-to-consumer automotive finance, secured an £8.5 million Series A round and a £95 million debt facility in February 2023.
The funding will enable Carmoola to make further inroads into the UK’s £100 billion used automotive finance market which is forecast to grow to £190 billion by 2027. Coupled with a disciplined approach to capital allocation, Carmoola said this investment will speed up its journey to profitability.
Investment got here from US-based fintech specialists QED Investors; VentureFriends; InMotion Ventures, the investment arm of JLR; Latest York-based investors AlleyCorp; and Kyiv-based u.ventures.
Carmoola, which launched its app in March 2022, has now secured total funding to this point to £146 million including a £95 million debt facility.
Aidan Rushby, co-founder and CEO of Carmoola, said: ““Carmoola got here about because we could see that the used automotive finance market was broken, however the establishment suited traditional lenders just effective, so no person was doing anything about it. We saw the chance to do higher and rebalance the situation in favour of the buyer, and our financial backers shared this vision. Now that we have now proven our concept we’re able to bring our product to much more people.
“Our goal is to make automotive financing as user-friendly and hassle-free as possible, and this unrelenting focus has already seen us support the acquisition of over £46 million value of cars. With this recent funding, and the support of our investors, we’re poised to assist much more people buy the automotive of their dreams.”
Yusuf Özdalga, partner and head of Europe at QED Investors, the backer of finance unicorns Remitly and NuBank, said: “Carmoola is shaking up an industry that had grown and stays complacent, and is addressing the poor customer outcomes and unnecessary hurdles that the incumbents have allowed to take hold.”
This Article First Appeared At www.am-online.com