ServiceUp Raises $14.5M to Be the Postmates of Auto Repair

ServiceUp aims to bring “the convenience of food delivery to auto repair” with its all-in-one platform.
Written by Charli Renken
September 28, 2022Updated: September 28, 2022
ServiceUp co-founders in front of an automobile repair shop floor
ServiceUp co-founders Javier Muniz (left), Brett Dashe (center) and Brett Carlson (right). | Image: ServiceUp / Built In

If you’ve ever been in a fender bender or needed an auto tune-up, you know the hassle of getting repairs. From coordinating with the other driver to comparing estimates, the auto repair process is a headache, to say the least.

ServiceUp is working to make car repair less cumbersome for drivers. Armed with $14.5 million in new Series A funding, the startup strives to be an all-in-one platform for managing car expenses. 

ServiceUp’s mobile app assists users through the entire repair process from pick up to repair estimates to payments. Users have access to “expert car care advocates” to help figure out what repairs are needed and are guaranteed the best price matches, according to the company. ServiceUp also offers a two-year, 24,000-mile warranty, so if anything goes wrong, drivers have peace of mind that additional repairs will be covered. 

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“More than $150 billion is spent on auto repair every year. The industry is very fragmented and in need of an innovative solution that connects consumers with trusted independent repair shops,” Nate Lippincott, an investor at Tiger Global, which led the Series A, said in a statement. “ServiceUp’s unique model is poised to bring the convenience of food delivery to auto repair. The initial market response has been very strong, and through our investment, we look forward to supporting this talented team as they expand ServiceUp into new markets.”

ServiceUp also offers auto repair solutions to enterprises, including fleet maintenance, auto repair employee benefits and solutions for small businesses. The company currently offers its services as an employee perk to enterprises like Amazon, NVIDIA, Meta and LinkedIn. It also has corporate partnerships with NowRx and other fleet operators.

Los Gatos-based ServiceUp has experienced a lot of success since its founding in 2021. It has grown its revenue 20 percent month-over-month this year and built out its car repair network to over 150 auto shops. ServiceUp is currently available to car owners in San Francisco, west Los Angeles, Denver and Phoenix. The startup has plans to expand to an additional 10 markets by the end of the year, thanks in part to its new funding. 

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In addition to market expansion, ServiceUp plans to use its new funds to invest in machine learning and artificial intelligence capabilities, marketing, product, field operations and business development.  

“As consumers keep their cars longer due to rising car prices and lack of inventory, the time and cost to repair [them] are becoming more significant investments for consumers. By creating an end-to-end, fully automated experience, ServiceUp has taken away the headache of car repair for thousands of customers,” ServiceUp co-founder and CEO Brett Carlson said in a statement. “Early data shows our customers are saving an average of four to six hours per service by using ServiceUp as their car repair partner, which is a desirable alternative to managing it themselves and a lower cost than going to the dealer.”

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