Total amount raised
$235.7 Million
Latest funding date
7/1/2024
Location
Carwow has successfully raised funding over 13 rounds, with notable investors including Balderton Capital and Vitruvian Partners. The platform connects customers, automotive brands, and car dealers, facilitating seamless car transactions.
Keep reading to explore the intricacies of Carwow's fundraising journey and the investors backing this innovative platform.
What Is Carwow?
Carwow is an online car marketplace based in London, England, connecting customers, automotive brands, and car dealers. The company operates in the automotive, marketplace, and transaction processing industries.
Founded by James Hind, Carwow has grown to employ between 101-250 people. The platform offers a seamless car buying and selling experience, partnering with major manufacturers and dealers to provide competitive offers and comprehensive car reviews.
How Much Funding Has Carwow Raised?
- Round Name: Series B
- Amount Raised: GBP 12,500,000
- Date: January 2016
- Lead Investors: Accel
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To scale operations and enhance technology for better customer experience.
- Round Name: Series C
- Amount Raised: USD 39,000,000
- Date: July 2017
- Lead Investors: Vitruvian Partners
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand market reach and enhance the platform's capabilities.
- Round Name: Corporate Round
- Amount Raised: GBP 25,000,000
- Date: August 2019
- Lead Investors: Mercedes-Benz Group AG
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To strengthen partnerships with automotive brands and expand service offerings.
- Round Name: Equity Crowdfunding
- Amount Raised: GBP 4,875,880
- Date: October 2019
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To engage the community and raise funds for further growth.
- Round Name: Debt Financing
- Amount Raised: GBP 41,300,000
- Date: December 2021
- Lead Investors: Hercules Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support operational expenses and fuel expansion plans.
- Round Name: Series Unknown
- Amount Raised: GBP 17,200,000
- Date: March 2022
- Lead Investors: Hercules Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To enhance technology and expand market presence.
- Round Name: Series Unknown
- Amount Raised: Not publicly disclosed
- Date: April 2022
- Lead Investors: Volvo Cars Tech Fund
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To develop new technologies and strengthen strategic partnerships.
- Round Name: Equity Crowdfunding
- Amount Raised: GBP 2,696,455
- Date: November 2023
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To engage the community and raise funds for further growth.
- Round Name: Series Unknown
- Amount Raised: USD 52,000,000
- Date: July 2024
- Lead Investors: Bessemer Venture Partners
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand operations in the UK and enhance presence in Germany and Spain.
Total Amount Raised: USD 52,000,000
Current Valuation: Not publicly disclosed
Key Investors
- Bessemer Venture Partners
- Details: Bessemer Venture Partners is a leading venture capital firm that has been investing in technology companies for over a century. They have a global presence with offices in the United States, India, and Israel.
- Investment Focus Areas: Technology, healthcare, financial services
- Notable Investments: LinkedIn, Shopify, Pinterest
- Volvo Cars Tech Fund
- Details: Volvo Cars Tech Fund is the venture capital arm of Volvo Cars, focusing on investments in high-potential technology startups. They aim to support innovations that align with Volvo's strategic objectives.
- Investment Focus Areas: Automotive technology, mobility solutions
- Notable Investments: Luminar, FreeWire Technologies
- Hercules Capital
- Details: Hercules Capital is a leading specialty finance company providing venture debt and growth capital to technology, life sciences, and sustainable and renewable technology companies.
- Investment Focus Areas: Venture debt, growth capital
- Notable Investments: Facebook, Airbnb, Pinterest
- Mercedes-Benz Group AG
- Details: Mercedes-Benz Group AG is a global automotive company known for its luxury vehicles and commercial vehicles. They invest in innovative technologies to enhance their product offerings and services.
- Investment Focus Areas: Automotive, mobility services
- Notable Investments: ChargePoint, Via
- Vitruvian Partners
- Details: Vitruvian Partners is a European private equity firm that invests in high-growth companies across various sectors. They focus on businesses with strong growth potential and innovative business models.
- Investment Focus Areas: Growth capital, technology, healthcare
- Notable Investments: Just Eat, Skyscanner, Farfetch
What's Next for Carwow?
Carwow is poised for significant growth, with plans to expand its "Sell My Car" service to Germany by 2025 and enhance its presence in Spain. This expansion is backed by a recent $52 million investment, which will also be used to attract more customers and refine payment systems. The UK market alone sees over nine million car changes a year, indicating a vast opportunity for Carwow to tap into.
Future fundraising opportunities appear promising, as the company continues to demonstrate strong growth and market potential. Additional rounds of investment could support further expansion and technological advancements. However, Carwow may face challenges such as competition from other online car marketplaces and regulatory barriers in new markets. Maintaining service quality during rapid expansion will be crucial for sustained success.
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