Nigerian car Sales and service platform Autochek has raised US$3.4 million seed funding co-led by TLcom Capital and 4DX ventures.
Autochek was founded this year by Etop Ikpe, after quietly stepped down from his CEO position at Cars45 – a company he founded. He then announced the acquisition of Cheki Nigeria and Cheki Ghana from ROAM Africa shortly after founding Autochek.
According to the CEO, Autochek’s model is aimed at creating the digital infrastructure for a new system to better coordinate sales, servicing, and vehicle records of the car market in Nigeria and broader Africa.
“It’s different in the type of technology we’re building and that it’s asset-light. I don’t have any inventory. I don’t buy cars. I don’t transact any [physical] cars. I don’t own any inspection locations. I don’t own any dealerships,” Ikpe told TechCrunch.
Ikpe is targeting the US$45 billion a year used car market in Africa that is still largely informal and fragmented.
Autochek’s platform hosts a network of partners and standards including consumers and businesses to buy cars, sell cars, service cars, and finance cars sales. The startup launched with 10 bank partnerships in Nigeria and two in Ghana.
Autocheck generates revenues through fees charged on consumer transactions and commissions paid by dealers and service shops on the platform. Consumers can sign up and use the Autochek app for free.