UAE-based car subscription platform Invygo, has raised $1 million, as part of a pre-Series A funding round led by EQ2 ventures, Class 5 Global, and 500 Startups.
Co-founded by Eslam Hussein and Pulkit Ganjoo in 2018, Invygo offers an alternative to traditional car rental. Through its app, Invygo enables its users to file a request to rent a car for a specific period of time. It allows them to choose a car of their choice, upload the licence picture, sign relevant documents and then have it delivered directly to their door.
“We are incredibly pleased to see further confidence from our investors with this latest funding round especially in the current climate,” said CEO and co-founder Hussein. “Our teams have received ongoing feedback from our customers stating they have seen the real value of the subscription model, over owning a car. With many people working from home and spending less time driving to and from work, our customers have been able to easily pause their subscription, swap to a less expensive car, or save money by choosing a lower mileage option.”
The company plans to use the funds to expand in the Middle East, invest in its technology and introduce new services to cater to a wider customer base.
“The Coronavirus crisis has now affected almost every part of our world; for many years to come, it will change the way we all move and commute,” said Patrick Thiriet, CEO at Equitrust. “Invygo’s value proposition looks even more relevant in this post-Covid19 world, with consumers still expecting to drive a car of their choice, but without the visibility to commit for 3 or 5 years.”
The latest funding follows the company's $1 million pre-seed round that was closed back in November 2019. Since then, Invygo claims to have tripled its customer base, increased its dealership partners from two to seven and now has 12 car brands onboard.