Carzuno, a Singapore-based all-inclusive car subscription platform, announced today that it raised $500,000 in an oversubscribed pre-seed funding round.
The round drew a lot of interest from investors, including venture capitalists like Hustle Fund and Net Ventures, as well as private investors in the automotive and ride-hailing industries.
The funds raised will be used to expand the team, improve the technological offering, speed up the adoption of more electric vehicles on the platform, and increase the number of subscriptions purchased by consumers and corporate partners.
“The experience of Carzuno’s team and their value proposition in digitalizing a traditional sector to provide more flexibility and convenience through their digital, all-inclusive car subscription platform is highly attractive,” Shiyan Koh, Co-founder & General Partner, Hustle Fund.
Amrt Sagar, Co-Founder and Chief Executive Officer at Carzuno, said commuters in Southeast Asia continue to demonstrate a strong preference for private vehicles, especially in the aftermath of the pandemic.
Traditional car ownership, on the other hand, has a number of drawbacks, such as multi-year lock-ins and uncertainty about total cost of ownership, which has created a market gap as drivers seek more flexible and convenient solutions.
Sagar believed that with their flexible, totally digital car subscription service, which makes getting a car as simple as ordering on Amazon, they will alleviate this problem.
In Southeast Asia, demand for private vehicle-based transportation remains high, especially since private vehicle sales in emerging economies are likely to arise and coexist with shared mobility options.
Carzuno, a transparent and totally digital car subscription business that launched in June 2021, promises to meet that need by offering a more flexible alternative to traditional private vehicle ownership or hire.
Customers can choose from more than 60 vehicles for full-time use with Carzuno, ranging from small Japanese hatchbacks to capacious German SUVs.
They can then join up for one, six, twelve, or twenty-four-month car subscription plans, complete a simple online booking form, and pay with their credit card for their ideal car. It takes less than three minutes to complete the totally digital process, and their chosen car will be delivered to their door in less than 24 hours.