Clutch raises $100 million to transform the used car buying experience for Canadians
Clutch plans to accelerate hiring with proceeds from Series B
TORONTO, Nov. 16, 2021 /CNW/ - Clutch, Canada's first online car retailing platform, announced today that it has raised CAD $100 million Series B equity financing to provide Canadians with an unparalleled, online experience for buying pre-owned cars. This most recent financing round is led by D1 Capital Partners with participation from Flight Deck Capital, Canaan Partners, Upper90, Real Ventures, GFC, Brand Project, and FJ Labs. Since 2016, Clutch has been focused on delivering the best customer experience for car buying in Canada. Its fully-vertically integrated business model ensures that each car undergoes a rigorous 210-point inspection and is reconditioned to the highest standard by its team of in-house mechanics. Clutch saves customers hours of time by avoiding endless trips to the dealership or uncomfortable meetings with strangers in parking lots. The seamless end-to-end online process provides customers with detailed, high-resolution 360° photos of each vehicle, a free instant CarFax report and access to a wide range of financing options without having to leave the comfort of your home. Finally Clutch offers complete peace of mind with a 10-day money back guarantee so customers can be sure the car fits in the routine of their everyday lives.
"We believe consumers are seeking to buy higher quality pre-owned cars with greater convenience and more transparent pricing," said Scott Baxter of D1 Capital Partners. "We are excited to invest in the outstanding team at Clutch, help improve the car-buying experience for Canadians, and continue to back leading auto ecommerce franchises across global markets."
With this funding and support from D1's Scott Baxter, who will join the company's board of directors, Clutch will strengthen operations in the existing markets it serves, which includes Alberta, British Columbia, New Brunswick, Nova Scotia, Ontario and Prince Edward Island, as well as expand to new markets in the coming months. Additionally, the company has plans to continue expanding its product offerings in 2022, helping facilitate the entire car-buying process even further. Clutch plans to make significant investments in growing its rapidly expanding team by over 200 people next year in order to continue delivering the easiest, most transparent and most trusted way to buy a car in Canada.
"D1 has built an incredible portfolio of leading global technology companies and we're thrilled to be partnering with Scott and the entire team at D1," said Dan Park, CEO of Clutch. "D1 has deep experience in the online used car market and we're looking forward to continuing to build the best car buying experience in Canada."
Recently named one of the Fastest Growing Canadian Companies by the Globe & Mail and one of the Top Canadian Startups by LinkedIn, Clutch is modernizing the car buying experience across Canada. Clutch's mission is to build customer trust by providing a delightful car buying and ownership experience while making a positive impact on the communities in which we operate.
About Clutch
Clutch, founded in 2016, is a vertically-integrated online car retailer for pre-owned vehicles in Canada. Clutch aims to provide an incredible car buying experience for its customers by bringing a best-in-class ecommerce experience to the Canadian pre-owned car industry. By visiting clutch.ca, customers can browse a large selection of high-quality vehicles at low prices and access an end-to-end online purchase experience which includes financing, insurance, and seamless home delivery. Clutch ensures complete peace-of-mind with each car being backed with a standard 10-day money back guarantee. Clutch is headquartered in Toronto and services Alberta, British Columbia, Nova Scotia, New Brunswick, Ontario, and Prince Edward Island. To learn more about Clutch visit clutch.ca. Read more on our blog here.
About D1 Capital Partners
D1 Capital Partners is a global investment firm that operates across public and private markets. The firm combines the talent and operational excellence of a large, premier asset management firm with the flexible mandate and long-term time horizon of a family office. Founded in 2018 by Daniel Sundheim, D1 focuses on investing in the global internet, technology, telecom, media, consumer, healthcare, financial, industrial, and real estate sectors.
SOURCE Clutch
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