Web retailer fund deal
April 16th, 2009 by Richard Aucock
AUTOQUAKE.COM has just secured another round of multi million pound venture capital fund investment.
The online car retailer says it is adding this to the £10 million it has already raised.
It will use the cash, from Accel Partners and Highland Capital Partners, to continue growing its UK operations – which have seen sales double in the last 6 months.
Expansion will also start aboard.
2009 sales are expected to top 15,000 cars, with the addition of an indoor distribution centre in Leeds to its existing site in Birmingham. More locations in the UK are being sought.
‘This latest funding will enable us to continue to expand our operations and facilities to increase our volume, develop our technology which underpins the business model, and grow the profile of the Autoquake.com brand still further, as well as providing capital for our international expansion,’ said CEO Garry Hobson.
He said that the new partners don’t just bring cash, either – but expertise in ecommerce, internet and retail sectors.
The business model is based on processing cars efficiently, meaning cash savings over more traditional models. The no-haggle prices are said to be 10 percent lower as a result.
Cars are sourced from large corporate fleet and leasing companies, and sold to customers directly through the Autoquake website.
As the business expands, perhaps it’s a model your car dealership should be watching?
Web booking ups servicing profits
Tags: autoquake, car retailing, online