When describing why his startup mobile vehicle repair company is growing, RepairSmith co-founder and CEO Joel Milne doesn’t mince words.
“I like to use the analogy you don’t bring your toilet to the plumber,” Milne said in an interview with Forbes.com.
It’s a testament to how fast demand home and on-site delivery of products and services have grown out of the Covid-19 pandemic as consumers avoided visiting places of business such as stores, restaurants and auto dealerships.
Already in 650 markets in seven states in the U.S. the two-year old company just landed $42 million in Series B funding from a group of investors that includes TI Capital, Mercedes-Benz, Porsche Ventures and Spring Mountain Capital.
Indeed, RepairSmith was the product of a Mercedes-Benz incubator session as it sought to find an innovative way to service its customers’ vehicles.
But Milne, who was hired to launch and run the new company, said Mercedes quickly saw opportunity in looking at a wider market.
Joel Milne, co-founder and CEO mobile vehicle repair company RepairSmith.
RepairSmith
“They realized this needed to be a multi-brand company not a Mercedes company to be successful,” said Milne. “The luxury OEMs are figuring out the right strategy how to implement competitive service offerings. That was the genesis. How do we evolve our service? Let’s invest as an industry solution rather than as Mercedes.”
The fresh cash infusion builds on an original Series A investment by Mercedes parent company Daimler as seed money to get the company started. It will be used to power a rapid RepairSmith expansion to all major U.S. metropolitan areas by the end of next year , according to Milne.
“The team at RepairSmith is taking a long-view of the changing customer expectations and technology requirements in the car repair industry and designing solutions to improve the customer experience,” said Andreas Joerg, Director of Service & Parts Business and Warranty & Goodwill Mercedes-Benz Cars in a statement.
Confidence in RepairSmith was echoed by Ziad Ghandour, founder of TI Capital who said in a statement, “We believe there is a team that is bringing mobile service and repair into the digital age, using a robust technology platform backed by world-renowned automotive partners. “RepairSmith is ideally positioned to transform the marketplace.”
The company also announced Ghandour and John L. Steffens of Spring Mountain Capital were appointed to its board of directors. They are joining Joerg and Thomas Vogel of Mercedes-Benz AG.
Similar to other mobile vehicle repair services, motorists simply make their requests on the company’s website, submitting some basic information. Milne says RepairSmith’s differentiator is its technicians are employees, not contractors, most of whom have at least 10 years of experience and hold ASE certification through the National Institute for Automotive Service Excellence. The company provides technicians with a specially-equipped van and tools. It’s all about quality control, he said.
RepairSmith technician outside one of the company’s specially-equipped vehicle service vans.
RepairSmith
The company doesn’t currently offer subscriptions but that’s part of software development included in its expansion plan, according to Milne.
Also part of its long-range goal is servicing electric vehicles. Since much of its business is related to used vehicles, there hasn’t been much demand or opportunity to handle battery-powered cars or trucks. But Milne says the company is already working on jumping into that segment.
“We are working with a number of EV manufacturers releasing cars that don’t have dealerships who will need a service partner from day one,” said Milne. “So we will certainly be at the top of the EV curve with this new generation coming up and will work with traditional OEMs as well.”
With its rapid expansion plans and business model focused on quality and premium image, Milne says RepairSmith’s mission is simple.
“We’re trying to disrupt the auto industry through e-commerce and last mile logistics.”
TORONTO – Canada’s main stock index was up more than 100 points in late-morning trading, helped by strength in base metal and utility stocks, while U.S. stock markets were mixed.
The S&P/TSX composite index was up 103.40 points at 24,542.48.
In New York, the Dow Jones industrial average was up 192.31 points at 42,932.73. The S&P 500 index was up 7.14 points at 5,822.40, while the Nasdaq composite was down 9.03 points at 18,306.56.
The Canadian dollar traded for 72.61 cents US compared with 72.44 cents US on Tuesday.
The November crude oil contract was down 71 cents at US$69.87 per barrel and the November natural gas contract was down eight cents at US$2.42 per mmBTU.
The December gold contract was up US$7.20 at US$2,686.10 an ounce and the December copper contract was up a penny at US$4.35 a pound.
This report by The Canadian Press was first published Oct. 16, 2024.
TORONTO – Canada’s main stock index was up more than 200 points in late-morning trading, while U.S. stock markets were also headed higher.
The S&P/TSX composite index was up 205.86 points at 24,508.12.
In New York, the Dow Jones industrial average was up 336.62 points at 42,790.74. The S&P 500 index was up 34.19 points at 5,814.24, while the Nasdaq composite was up 60.27 points at 18.342.32.
The Canadian dollar traded for 72.61 cents US compared with 72.71 cents US on Thursday.
The November crude oil contract was down 15 cents at US$75.70 per barrel and the November natural gas contract was down two cents at US$2.65 per mmBTU.
The December gold contract was down US$29.60 at US$2,668.90 an ounce and the December copper contract was up four cents at US$4.47 a pound.
This report by The Canadian Press was first published Oct. 11, 2024.
TORONTO – Canada’s main stock index was little changed in late-morning trading as the financial sector fell, but energy and base metal stocks moved higher.
The S&P/TSX composite index was up 0.05 of a point at 24,224.95.
In New York, the Dow Jones industrial average was down 94.31 points at 42,417.69. The S&P 500 index was down 10.91 points at 5,781.13, while the Nasdaq composite was down 29.59 points at 18,262.03.
The Canadian dollar traded for 72.71 cents US compared with 73.05 cents US on Wednesday.
The November crude oil contract was up US$1.69 at US$74.93 per barrel and the November natural gas contract was up a penny at US$2.67 per mmBTU.
The December gold contract was up US$14.70 at US$2,640.70 an ounce and the December copper contract was up two cents at US$4.42 a pound.
This report by The Canadian Press was first published Oct. 10, 2024.
