PumPumPum, a used car leasing company has raised $2 million (Rs 15 crore) equity and venture debt from LC Nueva Investment Partners, Founder’s room capital, Lets Venture, Manish Agarwal, Founder and CEO, Nazara Group, and Uday Sodhi, Ex Business Head Sony Liv. The funds will be used to accelerate the company’s plans and its vision to become India’s largest mobility leasing platform.
The start-up claims it is the first company in India to venture in the segment of subscription/leasing of used cars. Through its unique business model, customer-first approach and value-added services like insurance and servicing, it claims it has been able to achieve 1,000% growth (albeit a low-base) in the auto segment in FY 2021-22. At present, the company has established a presence in Delhi-NCR and Bangalore but manages and services its fleet in over 55 cities.
Sameer Kalra, co-founder – CGO and Tarun Lawadia, founder – CEO, PumPumPum said, “PumPumPum is a futuristic used car leasing solution. Our business model ensures that we extend a hassle-free experience and give customers the same feeling of owning a car without the added worry of vehicle maintenance and financing. This helped us record a 1,000% growth in FY 2021-22, thus becoming EBIDTA positive. We are delighted to share that we have secured $2 million in equity and venture debt that will help us accelerate and contribute to the next leg of our growth.”
Sohil Chand, founding partner, and CIO, LC Nueva Investment Partners, shared, “In the last few years we have seen PumPumPum grow exponentially. With its proven track and tech-driven innovative used car leasing/ subscription model, we strongly believe that Tarun and Sameer are building an ecosystem that is promising convenience while also giving an opportunity to their customers to drive and upgrade vehicles with zero hassles.”
Uday Sodhi, co-founder, Founders Room Capital shared, “The idea of mobility and transportation has drastically changed in the last two years. We firmly believe that leasing of car by companies will see an unprecedented demand as more employees look for personal commute in the post-Covid era. “