Tire Agent, an Entrepreneurs Roundtable Accelerator-backed startup that’s seeking to deliver the tire trade into the 21st century, has as we speak introduced the shut of a $5 million funding spherical led by American Household Ventures, with participation from ERA, Sidekick Fund, NY Angels and HBS Angels.
Based on Shopper Studies, the common tire prices about $97. 4 new tires prices a little bit below $400, and that doesn’t embody added prices like taxes, charges, or the price of set up. Tire Agent needs to make tire procuring extra handy and accessible to clients, whereas additionally making the method extra inexpensive.
The startup works with tire manufacturers (greater than 50, to be actual) to offer customers a spot to browse tires on-line. Furthermore, Tire Agent layers in instructional, easy-to-understand content material about these tires to assist customers perceive the distinction between manufacturers, fashions, and get the most effective worth. Tire Agent additionally helps customers discover an installer close to them and reveals the price of set up up entrance, so there are not any surprises.
Plaid founder and CEO Zach Perret lately stated on an episode of Additional Crunch Stay that each firm is a fintech firm, and TireAgent appears to agree.
The corporate has constructed out a tire financing platform referred to as PayPair that connects clients of any credit score rating and matches them with quite a lot of lenders, financing and fee plan corporations to offer them choices on the right way to cowl the price of new tires.
Tire Agent additionally has a partnership with AllState to supply warranties to clients, together with a guaranty on set up, in order that their funding is protected.
“The largest problem for Tire Agent is getting folks to vary the behavior of going to an old-school tire store and being so used to folks pushing a model on them,” stated Tire Agent founder and CEO Jared Kugel. “On Tire Agent, you may learn via the content material we’ve generated for every tire, even when you recognize nothing a couple of tire, and make an informed resolution.”
Tire Agent has a community of 500+ tire distribution warehouses with 50 tire manufacturers and 20 wheel manufacturers supplied on the platform, with 15,000 partnered set up facilities throughout the nation.
Although the corporate gained’t share concrete numbers, Kugel added that income and tires offered grew by practically 300 p.c from the primary half of 2019 to the primary half of 2020.
This newest spherical brings Tire Agent’s complete funding to $6 million.