Headquartered in the Life Time co-working space, located in the former Strawbridges Department Store at Suburban Square – according to its press release, Go is the first company to offer a car subscription service geared specifically toward daily drivers, unlike previous car subscriptions that focused on swapping vehicles and short-term use. With significant advantages over traditional car buying, GO’s innovative model promises to change the industry and represents a new paradigm for car shoppers.
$41 Million Financing
On October 19, 2019, Go announced that it has secured a $41 million round of financing led by Synterra Capital Management. This funding will enable the company to grow its fleet substantially
Via Zoom – Michael Beauchamp, Founder and CEO of Go.
We’ve taken a process that most folks, 17 million new per year, 40 million on the used car side … and it’s a process that people don’t normally like. It’s laborious, it’s time-consuming and it’s very confusing – and it turns out to be more expensive. So what we have done, is remove all of the inefficiency and waste from the traditional archaic experience, and provide customers exactly what they they’re looking for – a simple online transaction where you can order a car online in about four minutes – have it delivered to your home, generally for free, never a down-payment – on a monthly basis save around 25%. And so you’ve taken something that lots of people already do, but you’ve made it cheaper and easier.
It’s typically almost impossible to exit your lease early, but customers whose needs change with us can exit early … but we are best suited for the person who plans to be in the same vehicle for multiple years at a time, as opposed to that short-term Zip-Car concept.
For somebody that needs to drive 20,000 or 30,000 miles a year, this is not best suited for them…If you want to customize your vehicle. If you want to make sure that it’s got a suede headliner or yellow brake calipers … then we’re not the best option for you… but fortunately, most people get what we offer, and this allows them to save a heck of a lot of money.
We actually really like Life Time Work, in Ardmore… Ardmore is a great location. There’s tons of restaurants that are walkable. It’s fairly central for all the types of folks that we recruit.
There’s going to be a lot of tech hires that we’ll bring in… because this is not necessarily a tech company, but it’s certainly a tech-enabled company, and also a fin-tech company. There’s a lot of finance folks we’ll be bringing in over time, because it’s all about managing your company’s cost of capital, and engineering capital in the right way, so that you can increase margin while still being able to deploy a large-scale fleet. And then there’s also a heavy data-science component to this. And that we’re very excited about, because right now you’re tapping into external data to try to make decisions on how to get the right vehicles, how to price them properly, and myriad other things. But then as we start to collect additional data on our own customers, we can really start to improve our offering.
Most entrepreneurs have lofty visions, and that’s why we’re all crazy enough to take the risks that we take. But… you’ve got massive demand for something, and you’ve got a value proposition that’s obviously better than pretty much anything else in the market … This can be a multi-billion dollar company within the next three years because you’re just satisfying very deep existing demand, with and through a better mousetrap.