MOUNTAINVIEW, Calif. — Scott Painter is back. The founder of TrueCar, who stepped down as CEO last December, is now part of a group of industry veterans aiming to launch a new mobile car-buying platform called Fair.com.
On Wednesday, TechCrunch reported that Painter’s new venture has added online used-vehicle retailer Beepi, which launched this past July “to create a better-than-reality experience.” The Mountain View, Calif.-based firm was one of a slew of well-funded startups, including Vroom, Carvana, and Shift Technologies, that has attracted more than $850 million in venture-capital funding.
According to TechCrunch, Beepi has burned through nearly $150 million in funding, the media outlet reported yesterday. The online retailer is now shutting down its operations outside of California, laying off 180 staffers, and merging with Fair.com. Beepi’s remaining staffers, which TechCrunch put at 80, will join Painter’s company, including Beepi cofounder and CEO Ale Resnik.
According to TechCrunch, Fair.com is being fronted by Painter, George Bauer, formerly of BMW, Mercedes-Benz, and Tesla, and Fedor Artiles, formerly of Mercedes-Benz, Chrysler, Volkswagen, and Tesla. The firm’s website doesn’t offer many details on when the company will launch or how the service will work. However, with the addition of Beepi, it doesn’t look like Fair.com will operate as a third-party lead service.
“At Fair, we put you first, not the car. That’s why we give you a personalized monthly payment range based on your finances, then show you all the best cars for your buck that won’t break the bank,” the firm states on its website.
Beepi officials confirmed the merger in an email statement issued today to Auto Dealer Today. The company said the No.1 objective will be to scale the business profitability while also integrating dealer partners. Beepi will shift its focus by tapping into a ready supply of high-quality cars for customers, and "its infrastructure will be well positioned to deliver in a radically different way that modern customers have grown accustomed to."
"George, Scott, and Fedor are auto industry veterans that I deeply admire, and I'm excited to join forces with them to focus on the future of the car-buying industry," Resnik said in the emailed statement. "Beepi will benefit immeasurably from this partnership, and we look forward to continuing to deliver an unsurpassed digital car-buying experience with this new group of dealer partners."
To read the full TechCrunch report, click here.