Programme: Enterprise Capital Funds
Carwow was established to make the process of buying a new car easier and more transparent for buyers. The platform connects new car buyers with lots of authorised franchise dealers who then compete for the car buyers’ business.
Carwow had grown from a team of two to five employees with some angel funding, but they knew that they needed institutional backing to improve the service and grow the business into a nationally recognised brand.
They raised equity finance from Episode 1 Investments LP, which is one of the Enterprise Capital Funds supported by the British Business Bank.
Carwow raised a total of £1.3m from Episode 1 and other investors. That money funded a raft of product development hires and additional sales people.
James Hind, Founder and CEO of Carwow said:
“The initial funding from the Episode 1 team meant that we were able to develop our offering and the support they have given us in the form of equity funding and advice has helped fuel our growth”
The company started off as a team of 2, and now employs over 30 people, having subsequently raised a further £4.5m from other investors.
James says Carwow is “well on its way to achieving national dominance”, helped by a recent TV ad campaign: