Nigerian automotive technology company Autochek has raised $3.4 million pre-seed funding for expansion of operations and platform development. This round was co-led by TLcom Capital and 4DX Ventures with other investors including; Golden Palm Investments, Lateral Capital, Kepple Africa Ventures, MSA Capital.
Autochek has operations in Nigeria and Ghana where it is creating a safe and seamless automotive commerce experience for users. The firm’s platform is a network consisting of consumers and businesses to buy, sell, service, and finance cars.
Autochek is looking to create a single marketplace for automotive incorporating sourcing, financing, after sale support, and warranties. Autochek is eyeing expanding to new geographies such as Ivory Coast, Senegal, South Africa, Kenya, Egypt, and Algeria.
The funds will go towards expanding the teams in Ghana and Nigeria as well as technology investments in these core markets. In addition, it is looking to add auto related services such as insurance.
In September, Autochek acquired automotive marketplaces Cheki Nigeria and Cheki Ghana in an aggressive expansion plan. The firm has signed up partnership with 10 banks in Nigeria and two in Ghana to facilitate the financing part.
Autochek generates revenue by charging fees on customer transactions and commissions for the dealers and service shops on the platform.
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