Y Combinator leads Odiggo’s $2.2M seed round

The process one has to go through to get vehicles serviced is often tedious, costly, and time-consuming. Given that not all service centers are trustworthy, one badly done servicing process can get one into a cycle of repairs.

Dubai-headquartered auto tech startup Odiggo has created a platform designed specifically to address this concern. Via Odiggo’s platform, car owners can find vetted and trusted service and repair centers and spare part traders.

This makes the process seamless for car owners and also eliminates the need to vet. For suppliers and service shops, it brings the clients closer to them, reducing the cost of acquisition by a significant gap.

To further expand its offering, Odiggo is participating in the current YC Summer batch and has completed a US$2.2 million seed round before Demo Day. 

The investors who took part in this funding effort include Y Combinator, 500 Startups, and Plug and Play Ventures. Venture Capitalists within the region also took part, including Essa Al-Saleh (CEO of Volta-Tucks), LoftyInc Capital, and Seedra Ventures.

The firm was launched by co-founders Ahmed Omar and Ahmed Nasser in 2019. It is currently serving 50,000 car owners across three markets and also has over 300 merchants on its platform. The firm also boasts of a 40% month-on-month increase in merchant signups and a 200% increase in user signups since the start of the COVID-19 crisis.

“We believe we are at a watershed moment. It is incredible that since COVID hit, Odiggo has experienced over 10 times growth in the last year,” said co-founder Omar. 

The new capital will be directed towards growing the firm and increasing its manpower across its markets.