Tire Agent, an Entrepreneurs Roundtable Accelerator-backed startup that’s seeking to deliver the tire business into the 21st century, has right this moment introduced the shut of a $5 million funding spherical led by American Family Ventures, with participation from ERA, Sidekick Fund, NY Angels and HBS Angels.
According to Consumer Reports, the common tire prices about $97. Four new tires prices a bit below $400, and that doesn’t embrace added prices like taxes, charges, or the price of set up. Tire Agent desires to make tire purchasing extra handy and accessible to clients, whereas additionally making the method extra reasonably priced.
The startup works with tire manufacturers (greater than 50, to be actual) to provide customers a spot to browse tires on-line. Moreover, 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 perfect worth. Tire Agent additionally helps customers discover an installer close to them and exhibits the price of set up up entrance, so there aren’t any surprises.
Plaid founder and CEO Zach Perret lately stated on an episode of Extra Crunch Live that each firm is a fintech firm, and TireAgent appears to agree.
The firm has constructed out a tire financing platform known as PayPair that connects clients of any credit score rating and matches them with quite a lot of lenders, financing and fee plan firms to provide them choices on the 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 individuals to vary the behavior of going to an old-school tire store and being so used to individuals 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 nothing a few tire, and make an informed determination.”
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.
Though the corporate received’t share concrete numbers, Kugel added that income and tires offered grew by practically 300 % from the primary half of 2019 to the primary half of 2020.
This newest spherical brings Tire Agent’s whole funding to $6 million.