Tire Agent, an Entrepreneurs Roundtable Accelerator-backed startup that’s seeking to convey the tire trade into the 21st century, has right now 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 Consumer Reports, the typical tire prices about $97. 4 new tires prices somewhat beneath $400, and that doesn’t embrace added prices like taxes, charges, or the price of set up. Tire Agent desires to make tire buying extra handy and accessible to prospects, whereas additionally making the method extra reasonably priced.
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 perfect worth. Tire Agent additionally helps customers discover an installer close to them and reveals the price of set up up entrance, so there aren’t any surprises.
Plaid founder and CEO Zach Perret just lately stated on an episode of Further Crunch Dwell 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 prospects of any credit score rating and matches them with quite a lot of lenders, financing and cost plan corporations to offer them choices on how you can cowl the price of new tires.
Tire Agent additionally has a partnership with AllState to supply warranties to prospects, 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’ll be able to learn by means of the content material we’ve generated for every tire, even when you already know nothing a few tire, and make an informed choice.”
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 almost 300 p.c from the primary half of 2019 to the primary half of 2020.
This newest spherical brings Tire Agent’s whole funding to $6 million.