Car Savior

An Online Car Repair Service

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Company Information

Website:

https://www.thecarsavior.com/

Sector:

Automotive Services

Location:

Austin, TX

As of 2019, there were roughly 280 million cars on the road in the U.S. And every year, according to AAA, drivers spend an average of $1,200 on repairs and maintenance.

Car Savior is targeting these consumers with its online car repair marketplace.

This marketplace was designed to make car repairs faster, easier, and more convenient.

Drivers simply visit Car Savior’s website or app and describe their problems through an online questionnaire. From there, the company’s proprietary diagnostic algorithm determines the most likely problem. Using this information, Car Savior then provides drivers with quotes for nearby, vetted mechanics.

Over the past several years, the car repair industry has become increasingly active among professional investors. Between 2009 and 2013, venture capitalists invested less than $5 billion annually into this market. But since 2016, VCs have invested at least $20 billion a year, including a record-high $30 billion in 2018.

Platforms similar to Car Savior have raised substantial capital from notable investors. For example:

Open Bay, an online marketplace for auto repair services, has received investments from Shell Ventures, Andreessen Horowitz, and Google Ventures. And YourMechanic, which gives drivers access to a “mobile mechanic,” has raised more than $38 million from SoftBank, Verizon Ventures, and Data Point Capital.

But unlike these platforms, Car Savior is able to diagnose a driver’s issue through an online process.

The process begins with an interactive 20-question survey. Questions cover a range of issues, such as asking about any odd noises, what part of the car is having issues, whether the car can be driven, and the owner's driving habits.

Car Savior provides sample noises for customers to determine which might closely resemble their problem. The survey is dynamic, with several hundred “branches” for the diagnostic tree. Each question is dependent on the previous question.

Car Savior’s platform can diagnose problems with cars made from several manufacturers. These include Ford, Chevrolet, Chrysler, Jeep, GMC, Cadillac, Toyota, Honda, Nissan, Mazda, Lexus, Acura, Kia, Hyundai, Mercedes-Benz, BMW, and Volkswagen.

Once a diagnosis is made, it’s checked by using large data sets to compare the frequency of the failed part on similar vehicles from similar years. This data is collected by Car Savior and is expected to increase the diagnostic accuracy over time.

Car Savior then provides drivers with quotes for mechanics. These quotes are included with customer reviews and scheduling availability.

At the same time, mechanics are provided with information about how long each repair should take. This helps them schedule their time more efficiently. They can also order car parts before the customer even arrives.

Car Savior’s network includes both mobile mechanics and traditional repair shops.

Whether at a person’s home or a repair shop, the mechanic first performs an on-site inspection to confirm the online diagnosis. Car Savior has around 80% accuracy rates for diagnosing problems.

Following this inspection, if a customer chooses not to proceed with repairs, they are charged a diagnostic fee ranging between $28 and $38. If they choose to continue, this fee is waived.

To generate additional revenue, Car Savior obtains pricing quotes from mechanics and applies a slight markup.

Car Savior was founded in 2017, and currently operates in major cities in Texas. These include Austin, Houston, San Antonio, and Dallas.

In 2018, the company completed the Capital Factory accelerator program. And from January 2019 until June 2020, it booked nearly $270,000 worth of repairs through its platform.

To date, Car Savior has diagnosed more than 6,500 cars and attracted 105 mechanics to its platform.

Moving forward, the company aims to implement new products and features. These include:

Automated Bid Creation: Right now, when customers request a quote, human intervention is required. Car Savior expects that increased automation will lead to faster quotes and savings on labor costs.

Website-as-a-Service: This service will provide mechanics with their own website, populated with Car Savior’s database content.

Website features will include bid creation, scheduling, payment options, and customer reviews. The company is planning to release a beta version of this site this summer.

Team Background

Christiaan Best - Co-Founder & CEO

Christiaan is an engineer by trade and a former mechanic.

Most recently, he founded Green Revolution Cooling, an energy company focused on cooling technology. Under his guidance, the company was awarded multiple patents and achieved more than $10 million in annual revenue. In 2016, Green Revolution was acquired.

Prior to starting this company, Christiaan was a product development engineer with Microstaq, a startup making hydraulic valves. This company was acquired in 2012.

Before that, he was a senior engineer with Bell Helicopter, where he worked in the Hydraulics and Controls Division. He began his career as a co-founder of eForensics, a startup focused on digital data capture and analysis that was acquired in 2005.

He holds Bachelor’s and Master’s degrees in Mechanical Engineering from the University of Texas.

Hayden Luckadoo - Co-Founder & Data Analyst

Hayden started Car Savior after earlier jobs in customer service and warehouse logistics.

He studied Chemical Engineering and Mathematics at the University of Texas.

Raising
$250K
Committed
$5,400 (2%)
Current Valuation
$3.80 million Cap / 20% Discount
Min. Investment
$100
Deal Type
Title III
(For all investors)
Offering Type
Convertible Debt
Finance History
  • $140K
    2019-02-01
    Unknown
    (SAFE)
  • $25K
    2018-10-01
    Unknown
    (SAFE)
  • $105K
    2018-12-01
    Unknown
    (SAFE)
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