Canada Drives has raised $40 million in equity funding from Mississauga-based goeasy.
The Vancouver-based online car marketplace says it will use the funding to bolster its inventory and workforce, among other plans.
Canada Drives says that it has seen “explosive growth,” more than quadrupling sales, tripling inventory, and doubling its workforce in the past year. The company is now up to 700 employees. According to a statement, Canada Drives will aim to continue expanding its team in order to support what the company describes as “ambitious growth plans.”
In addition, Canada Drives says it will partner with goeasy to further integrate automotive financing into the online car buying experience.
“Canada Drives has established themselves as the market leader in online car retailing, sharing our common vision for a seamless customer experience,” said Jason Mullins, goeasy’s CEO.
“We look forward to helping finance their consumers’ automotive purchases and are proud to invest in the business as they aim to develop an industry leading online car shopping experience, all from the comfort of home,” he added.
“The investment led by goeasy further positions Canada Drives as the industry leader in the Canadian automotive e-commerce market,” said Cody Green, co-CEO of Canada Drives.
“The new capital, alongside the strategic partnership, will enable us to grow our available inventory, enhance our market-leading service, and continue to expand across the country,” he added.
Canada Drives has been hiring by the hundreds since its last raise in 2021.