Mobile fitting business to benefit from capital injection
Venture capital firm MMC Ventures Ltd reports that it and UK-based fund manager Enterprise Ventures have invested £640,000 in Tyres on the Drive, a business MMC describes as a “fast-growing and innovative online mobile tyre fitting service.” The funds are intended to support the expansion of Tyres on the Drive from its current area of operation in the North West and parts of the West Midlands into Yorkshire and fully into the Midlands. The mobile tyre fitting service intends to open new depots in Wakefield and Birmingham as part of this expansion."
Tyres on the Drive was established 18 months ago by ex-Michelin manager Dominic Clark. The company now employs 18 staff, operates a fleet of 12 vans and is on course to turn over £6 million in the current financial year. This latest round of funding follows two earlier investments totalling £340,000 from The North West Fund for Venture Capital, which is also managed by Enterprise Ventures. It brings the total investment in the company, including funding from the founder, to over £1.2 million.
“During my career I spent so much time in cold, dirty tyre depots that I saw the need for a different business model,” comments Tyres on the Drive managing director Dominic Clark. “Customers love the convenience and the cost savings that we offer. Regional expansion was always part of our plan and, now the business is successfully established in the North West, it’s time to move on to the next stage of development.”
Paul Betts, investment manager with Enterprise Ventures, adds: “The funding climate for small companies remains very difficult, even for those like Tyres on the Drive, with a compelling customer proposition and strong growth prospects. However by accessing investments from the different funds we manage and leveraging these against finance from other investors, we are often able to provide a solution.”
“We have been hugely impressed with the growth of the business to date and look forward to helping management build a market leading national business,” shares Rory Stirling, investment director, MMC Ventures. “We believe the Tyres on the Drive model is very disruptive to the existing tyre retail market and provides customers with a far superior offering.”
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