InstaCarro is Brazil’s leading platform for buying and selling used cars, offering consumers instant cash and 24-hour remote auctions while providing dealers access to fully inspected vehicles via web and mobile apps. The company bundles software, financing, logistics, registration and paperwork alongside a growing inventory of high-quality cars. Since founding in 2015 it orchestrates over 8,000 transactions monthly and has exceeded R$2 billion in sales. Approximately 35% of sales are currently financed, and InstaCarro aims to surpass 50% by year-end. The new funding will support expansion of its fintech platform, bolster the finance arm and grow its dealer-to-dealer (D2D) sales operations. Its D2D operation, launched in 2023, serves fleet companies, financial institutions and large dealerships to streamline sales and manage moving inventory and recovered vehicles. The company plans 2024 product launches to digitize documentation, provide comprehensive inspection reports and offer warranty extensions to improve consumer interactions. InstaCarro operates a digital marketplace that connects used-car sellers to a network of over 4,000 dealers across Brazil. The company conducts home inspections—taking more than 150 pictures—auctions vehicles digitally and pays sellers the same day, with over 90% of customers completing the process online. Since its 2015 inception, InstaCarro has transacted more than R$1 billion (about US$193.2M) with over 35,000 sellers and has been profitable since 2019, with profitability up nearly 10x versus pre-pandemic levels. It has grown 21% month-over-month since the start of COVID and currently has roughly 120 employees, with plans to double headcount by 2022. The startup expanded beyond São Paulo into eight additional cities in the first half of the year and plans to aggressively expand further within Brazil. Longer-term, InstaCarro aims to evolve into a full-service car trading platform that would enable customers to buy cars directly through its platform. InstaCarro operates an online marketplace that purchases used cars from owners and sells them to used-car dealerships, promising near-instant payouts for sellers and certified, quality-controlled stock for dealers. The co-founders, Diego Fischer and Luca Cafici, developed the model after studying successful platforms such as Russia’s CarPrice.ru and targeting Brazil’s roughly $50 billion used-car market. The company has sold more than 10,000 cars through its service. InstaCarro raised a $3.5M seed from FJ Labs in 2016 and attracted notable angels including Fabrice Grinda and José Marin. The new $22M institutional financing will be used for product development and international expansion. Management says the capital will help expand the company’s geographic footprint and scale its marketplace operations.

Total raised

$56M

Funding rounds

3

Latest round

Equity

Latest activity

Apr 2024