DriveItAway gains Knightsgate Ventures as institutional investor
DriveItAway has a new institutional investor.
The platform that offers dealerships the chance to provide cash-strapped customers the opportunity to secure a vehicle via its rent-to-own technology announced this week that Knightsgate Ventures — a leading venture capital firm focused on social and financial returns — has become an institutional investor in the company.
DriveItAway chief executive officer John Possumato said, “The mission of DriveItAway has always been to eliminate the friction, for dealers and consumers, to enable more people to first drive, and then buy, the used vehicle of choice, regardless of credit score or immediate down payment availability.
“This allows, for the first time, high-quality, consumer-focused car dealerships to broaden their outreach with the same level of customer care to those credit or down payment challenged, and provides the best vehicle choice alternatives enabling immediate use and purchase,” Possumato continued in a news release.
“We found that this aligns perfectly with Knightsgate Ventures in their goal of funding a more equitable future while driving superior financial returns,” he went on to say.
DriveItAway explained its “Try It Before You Buy It, Pay as You Go” turnkey platform for dealers may be the only way for those that are down payment or credit challenged to purchase the used vehicle of their choice. That’s because every subscription payment accumulates toward the down payment at a prearranged purchase price established at the beginning of the process.
DriveItAway said its platform appeals to all potential used-vehicle buyers who would like to try a used model out for an unlimited period of time before making any purchase commitment.
The company highlighted the DriveItAway platform also “de-risks” a used car purchase for all buyers in a way never achieved by any online or traditional automotive retailer. Individuals can pick a vehicle off your lot and drive it until and if they decide to buy it with the money paid in for your subscription applied to the prearranged purchase price.
DriveItAway pointed out that it equips each vehicle with advanced telematics that can give a “live time” read on mileage, location and driving patterns. This data is valuable for vehicle owner/dealers as well as insurance purposes, allowing DriveItAway to provide highly competitive insurance rates and coverage that are part of the turnkey program for dealers and subscribers/buyers.
That process and infrastructure were among the reasons why Knightsgate Ventures decided to support DriveItAway.
“As a firm, we are always in search of innovative platforms that leverage technology to address significant issues in society,” Knightsgate Ventures partner Allen Bryant said in the news release.
“Individuals who cannot afford the down payments on vehicles are oftentimes the ones that need these vehicles the most. In today’s economy, cars have become more than just a mode of transportation but an income-producing asset,” Bryant continued. “DriveItAway is addressing a problem that has been around for decades in an effective and highly scalable solution.”
Possumato added that DriveItAway’s offering might be a pathway for electric vehicles to gain more retail appeal.
“Our ‘Try It Before You Buy It, Pay as You Go’ subscription/purchase program may be particularly useful to many as electric vehicles begin to be more widely introduced into the car market,” Possumato said.
“As recent studies suggest that many people are nervous about making an EV commitment without extensive research and investigation,” he continued, “what better way to really experience and investigate the benefits of an EV than to drive one, for as long as you want, risk-free, before you choose to buy?”
For more information, call DriveItAway at (203) 491-4283 or send a message to info@driveitaway.com.