AutoFi raised $10 million in Series A funding, which it plans to use to “accelerate” the growth of its lender, manufacturer, and dealer partners, the fintech company announced today.
The latest funding round includes existing investors Crosslink Capital, Ford Motor Credit Co., and Lerer Hippeau Ventures.
AutoFi has also entered into a strategic agreement with Tricor Automotive Group to bring its solution to dealerships across Canada.
Founded in 2015, the announcement comes as AutoFi has expanded to offering auto leasing, as opposed to only enabling dealers to offer their customers online purchase and financing of new and used cars, according to a company press release.
“AutoFi has experienced strong growth this year,” Kevin Singerman, AutoFi’s chief executive, said in a statement. “I’m excited that this new round of funding will help us accelerate that growth with our dealer, manufacturer, and lender partners — both here in America, and now Canada in the year to come.”
Currently, Ford Credit uses the startup’s software. AutoFi has previously provided its own line of financing through bank partners. However, through its Ford partnership, vehicles bought through Ford dealerships on the AutoFi platform are originated by Ford Credit, an AutoFi spokesman previously told Auto Finance News.
It appears AutoFi now plans to use the funds to grow beyond Ford Credit and expand into international markets, according to a published report. The company will make announcements over the next few months around some national lenders joining its network, Singerman said in the report.
“We will be working with a wide variety of well-known banks, captives, CU’s, OEM’s etc. The focus here is to provide an industry-wide solution for all lenders and all dealers,” a spokesman for AutoFi told Auto Finance News.
For more on industry trends and growth opportunities, attend the 17th annual Auto Finance Summit, Oct. 25-27 at the Wynn Las Vegas. To learn more about this year’s event, visit the Summit’s home page here, or to register click here.
