Mecho Autotech Raises $2.15 Million Seed Funding For Expansion

Nigeria Car repair and maintenance Startup, Mecho Autotech on Friday raised a $2.15 million seed funding round to expand its capacity and acquire more customers.

The funding rounds saw participation from Future Africa, Hoaq Capital, Cathexis Ventures, V8 Capital, Silver Squid and Tekedia Capital and were oversubscribed.

Mecho Autotech said that the capital will be used to expand its multi-channel service capacity, engineering team, and marketing budget for B2C acquisition as it has currently built three Mecho shops across Lagos.

Mecho Autotech also seeks to grow in B2C via a subscription service model and individual service requests, its B2B customers notably include some of Nigeria’s largest corporate fleets including Uber partner Moove, Tolaram Group as well as UAC Group.

While the startup also seeks to grow in B2C via a subscription service model and individual service requests, its B2B customers notably include some of Nigeria’s largest corporate fleets including Uber partner Moove, Tolaram Group as well as UAC Group.

Mecho Autotech co-founder, Olusegun Owoade said “When you consider the state of Nigeria’s used cars and our roads, car maintenance isn’t optional. We want to automate high-quality vehicle repair and maintenance for Nigerians by making it easy, convenient, and affordable. We aspire to build a maintenance culture in Nigeria and beyond to keep roads and people safe.”

Future Africa’s founder and general partner, Iyinoluwa Aboyeji said that his fund’s thesis was to back founders solving hard problems in large markets.

“With over 12 million cars on our roads and more on the way, leveraging technology to bring order to vehicle maintenance and repair is overdue. We are delighted to work with the Mecho Autotech team as they brilliantly execute on building out the vehicle repair value chain across Africa and create new and decent highly skilled auto repair jobs.”