Moove, the fintech start-up providing auto financing for gig economy drivers, has raised a further £15 million in debt funding to fuel its UK operations.
The start-up, which was founded in 2020, provides auto financing to Uber drivers and launched in the UK market in August after initial operations in several African countries and India.
This latest tranche of funding comes in debt form from Emso Asset Management, a London firm. It follows a round of $105 million in VC funding earlier this year.
Moove was founded by Nigerian entrepreneurs Ladi Delano and Jide Odunsi as a means to finance gig economy workers, namely ride-hailing drivers, that need their own vehicles to work but may be shut off from traditional auto loans.
The start-up provides loans to drivers and collects on the loans with interest based on a driver’s rate of revenue.
In August, it launched in the UK with a rent-to-own model for vehicles with drivers paying a weekly fee. It is operating through a partnership with Uber along with a commitment to finance electric vehicles. According to the start-up, it aims to have 10,000 electric vehicles on UK roads by 2025.
The start-up also rolled out a new app for drivers in the UK to find and pay at charging points.
Delano said the additional financing from Emso will be used to bolster Moove’s nascent position in the UK.
“This financing comes at a really exciting time for Moove. With our international expansion underway in the UK and India, we’ve already shown that affordable and accessible vehicle financing for mobility entrepreneurs is a global challenge and one we’re committed to solving at Moove,” Delano said.
Moove kickstarted its operations in 2020 in several sub-Saharan African countries in markets where Uber drivers have come up against hurdles in accessing traditional financial services, like car loans.
In a previous interview, Delano said the start-up was expanding into more vehicle types including trucks.