CarClarity revs up with $3m funding round

CarClarity obtains $3m Series A funding round
Contents

Sydney-based car financing tech start-up CarClarity is capitalising on Covid-driven demand for new and used cars, raising $3m in a Series A funding round after increasing its revenue by 600 per cent in the past six months.

CarClarity CEO and founder Zaheer Jappie said that, amid a widespread car shortage, he wants to pioneer a new online car buying service that reinvents traditional in-person car buying.

The company’s platform launched in March last year, connecting car buyers with more than 30 finance lenders handling loan comparisons, applications and approvals.

“When we launched there was no place for you to go and confidently compare lenders,” Mr Jappie said.

“We match customer data and criteria to lenders digitally and instantly, and then we guide customers through a very simple online application form and help them get the best outcome.

“Alongside buying a home, purchasing a vehicle is one of the biggest decisions many will make. Consumers want to feel confident that they can find the best deal in their price range. We’re on a mission to lead this in the car financing space by ensuring customers feel in control along each step of the journey to getting their next vehicle.

“The way people buy cars hasn’t really changed at all in the last 20 years, but consumer habits have changed. We have experts that source the car from the dealer market, and take care of the whole process for finance and insurance, and consumers often save thousands of dollars, too."

CarClarity would increase its roster of 15 employees to 50, Mr Jappie said, including additional investments in its engineering and product development teams. CarClarity’s next car buying offering will give customers access to nearly 300 Australian car dealerships. It will launch that service later this year.

The $3m Series A funding round was led by Equity Venture Partners and included existing investors Raj Bhat, the former Prospa Capital Management adviser, and Oxygen Home Loans managing director Ben Taylor, who was also an early backer of Harmoney and WeMoney.

The company did not disclose its current valuation.

“Zaheer and the CarClarity team have a laser-focused approach to making car financing accessible and transparent,” EVP investment manager Mark Velik said.

“We’ve been extremely impressed by their accomplishments to date.

“The astounding growth they’ve seen in the last six months alone highlights the strong call to market from Australians for a solution that helps customers navigate the car financing journey.”

Article written by David Swan and originally published in The Australian on 7 September 2021.

The Australian

The Australian brings you the latest news as well as latest politics, sports, entertainment, technology, lifestyle and breaking world news.

3
min read

CarClarity tops up coffers with $3 million capital raising

Car loan platform CarClarity has raised $3 million in Series A funding from existing investors, with the new funding to be used by the Sydney based start-up to “pioneer” a new online car buying service that it claims reinvents traditional in-person car buying.
4
min read

CarClarity Closes Series A – Expansion Continues

Australian car loan platform, CarClarity has closed a $3 million Series A funding round led by Equity Venture Partners (EVP).
4
min read

CarClarity secures A$3 Million Series A to continue rapid growth of its car financing and online purchasing platform

Following its A$1 million seed raise in March 2021, CarClarity saw a staggering 600% growth in revenue, with over 30,000 customers to date using the platform to compare matched lending options.
Posted on
April 1, 2021
min read

Tech leaders shaking up the finance industry

Fintechs are leading the technological revolution in Australian lending. Amongst them, CarClarity is shaking up the car financing industry with their transparent, simple-to-use digital platform.
Helpful car loan expert on computer

Get free expert advice on your next car loan

Our experts will help you figure out the cheapest new car loans available for your financial situation.