Carzami targets $30 million in revenue from used car sales after raising equity and debt funding
Cairo, Egypt – Carzami, an online retailer of quality used cars and vehicle finance, today announced the closing of a pre-seed round led by Contact Financial Holding, as well as a financing facility of scalable inventory, which it plans to use to transform the Egyptian used car market targeting $30 million in revenue by 2024.
With this strategic investment from Contact, Egypt’s largest non-banking financial services provider, Carzami is able to launch its innovative digital car dealership model while being able to offer crucial financing and vehicle insurance.
Carzami aims to fix the Egyptian used car market by providing consumers with an online platform offering certified and reconditioned used cars with 360 degree virtual tours and inspection reports. Customers can order any car they want delivered to their door for a test drive and then purchase with financing and insurance options.
Carzami understands that the fragmentation and distrust that characterizes the used car industry is not conducive to business growth. With the funding, Carzami seeks to continue to grow its inventory. Along with this, Carzami is looking to expand its fleet of delivery carriers, improve its operational technology, build a productive team and build a modern reconditioning facility. Importantly, Carzami will use the financing to optimize its organizational efficiency and build on existing functions, such as vehicle financing.
Carzami hopes to gain an edge over its competitors by providing outstanding services and building on consumer trust. This will be achieved by launching the 30-day Carzami protection program and a 7-day “Test to Own” service where potential buyers can try a vehicle for 7 days/200 km to come to a conclusion. In the end, they can get a full refund or an exchange with another. Here, Carzami aims to ensure that consumers get what they pay for. Carzami seeks to become a pioneer in the used car industry by providing consumers with premium services.
Hazem Moussa, Chairman of Contact Financial Holding, said: “Our faith in the digitization of the car market in Egypt has been with us since our early years, we launched contactcars.com in 2002 as the first car market and community for cars new and used. . Additionally, Contact pioneered used car financing over 10 years ago, now we believe we can support Carzami in its quest to reinvent the used car shopping experience.”
Said Zater, CEO of Contact Financial Holding, added, “Our support for Carzami is part of our ongoing efforts to connect with the startup scene in all aspects with which we can complement their work. We believe in the continued digitization of services led by exciting startups like Carzami.”
Co-founded in 2022 by Hussein Hosny and Adham Hosny; 2 seasoned entrepreneurs in the automotive field. They started this business venture to solve the problems of buying and selling used cars. They define themselves as an online business that helps customers navigate the tedious process of buying and selling used cars.
Carzami Founders, Hussein Hosny and Adham Hosny, commented, “Our goal is to change the way people buy and sell used cars by providing a single, transparent platform that offers buying options, high quality online sales and financing. Our experience is built on trust and transparency, enabling consumers to overcome the hassles of traditional dealerships.”
Both Hussein and Adham have extensive automotive experience. The duo co-founded Sa3ar; Egypt’s first data pricing engine for used cars, in partnership with Synapse Analytics, which is now also a partner of Carzami. With additional team experience from BMW, Mercedes and Porsche, Carzami is gearing up to be an industry leader for automotive needs and requirements in the region.
Carzami is an online platform that solves the hectic process of buying and selling used cars from the comfort of your own home. Carzami aims to fix the Egyptian used car market by offering certified used cars with 360 degree virtual tours and inspection reports. Customers can order any car they want delivered to their door for a test drive and then purchase with financing and insurance options. As a leading player in Egypt, Carzami introduces a whole new way of dealing with used cars with efficiency, transparency, convenience and exuberance.
Contact Financial Holding (Egyptian stock code CNFN.CA) is a leading group in the provision of non-banking financial solutions and services, managing a group of companies that provides a full range of financing and insurance products and services. Contact takes an innovative approach to ensure the provision of its highest quality finance and insurance services, with the easiest process to reach a wide segment of the market.
Through Contact Credit, Contact offers various financing programs to finance the purchase of new and used cars and vehicles, durable goods financing programs, in addition to financing and home finishing programs through Contact Mortgage and trade finance programs through its sister companies Contact Leasing and Contact Factoring. Contact also provides insurance services through Sarwa Insurance and Sarwa Life Insurance. The company is also the first and largest issuer of securitization bonds in various fields in the Egyptian market. Contact Financial Holding Company LLC. is authorized and regulated by the Financial Regulation Authority.