Carzuno, a Singapore-based all-inclusive subscription platform for cars, has announced that it has completed its oversubscribed pre-seed funding round, which was capped by the company at US$500,000. The round received overwhelming investor interest and participating investors include venture capitalists such as Hustle Fund, Net Ventures, and private investors in the automotive and ride-hailing sectors. The funds raised will be used to expand the team, extend technological offering, speed track more EVs on the platform, and raise subscription acquisition numbers among consumers and corporate partners. 

“The experience of Carzuno’s team and their value proposition in digitalising a traditional sector to provide more flexibility and convenience through their digital, all-inclusive car subscription platform is highly attractive. We look forward to supporting them through their growth journey,” said Shiyan Koh, Co-founder & General Partner, Hustle Fund. 

Demand for private vehicle-based transportation remains strong in Southeast Asia, especially with private vehicle sales expected to grow in emerging economies and coexist with shared mobility solutions. Launched in June 2021, Carzuno aims to support that demand as a transparent and fully digital car subscription service, providing a more flexible alternative to traditional private vehicle ownership or hire. Since its launch, the company saw triple-digit month-on-month growth, and the business has grown ten times in the last three months. 

“Southeast Asian commuters are still showing a significant preference for travelling via private vehicles, especially in the wake of the pandemic. However, traditional car ownership comes with numerous pain points such as multi-year lock-ins and uncertainties around the total cost of ownership, which creates a gap in the market as drivers look for more flexible and convenient options. We hope to solve with our flexible, fully digital car subscription service, which makes getting a car as easy as shopping on Amazon” said Amrt Sagar, Co-Founder and Chief Executive Officer at Carzuno. “The modern consumer is busy and always on the run; that is why we provide the experience of owning a car, but none of the hassles. All anyone needs to get a car through us is a credit card and a few minutes filling out details online. We also take care of insurance, maintenance, and roadside assistance for greater peace of mind. Our subscribers were very receptive to this seamless process, and we are thrilled to receive such positive feedback on the platform and the experience.” 

With Carzuno, customers can select their preferred car for full-time usage out of over 60 models, ranging from compact Japanese hatchbacks to roomy German SUVs. They can then sign up for one, six, 12 or 24-month car subscription plans, fill out a simple online booking form and pay for their dream car with their credit card. The fully digital process takes less than three minutes, and their chosen car will be delivered to their doorstep in under 24 hours.  

No upfront deposit is required, which in Singapore can be around 40 percent of the car’s total price. Carzuno users only need to pay a flat monthly subscription fee, which starts from as low as S$1,350 nett per month and includes everything from the car, insurance and servicing to taxes and 24/7 breakdown service. This eliminates hidden or unexpected costs associated with car ownership. They can also change their cars at the end of their subscription period based on their needs and lifestyle. 

Carzuno has partnered with established international car rental companies such as Avis and Sixt, as well as local Singaporean fleet owners and leasing companies, to provide users with the widest possible variety of vehicles. Through these partnerships, Carzuno can help automotive rental and leasing companies digitalise and attain higher vehicle utilisation through digital customer acquisition.