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Disruptive self-drive car hire company launches GBP250,000 fundraise on Crowdcube

The UK-based White Car, which is set to disrupt the self-drive car hire sector, will launch a new service in August 2016 allowing customers from around the world to hire a Tesla Model S 90D for a simple all-inclusive fee of GBP149 including VAT, via the White Car app.

The company, whose initial fleet will be based at Heathrow Airport, has launched a GBP250,000 fundraise on Crowdcube with a company valuation of GBP750,000 post funding.
 
White Car, which is already taking pre-bookings at www.whitecar.eu ahead of its launch in August, will redefine the often cumbersome and inefficient self-drive car hire sector by enabling customers to rent state-of-the-art electric Model S, while simplifying the booking and collection process and bringing complete transparency to the pricing structure.
 
The business model has been designed so that the company projects to be in profit by year two, while by the end of the third year it plans to have 20 outlets across the UK and Germany with a turnover of GBP20.8 million. By being able to reduce operating costs by 13 per cent compared to the traditional car hire operators, White Car forecasts EBITDA of GBP6.2 million by the end of year three.
 
White Car will be holding an open morning for any interested investors at the Tesla showroom on Oxford Street on Tuesday 17 May, or people can get in touch directly with founder Mark Strachan via www.crowdcube.com/whitecar. There will also be incentives for investors with anyone investing over GBP50,000 being able to join a trip to the Tesla factory in California. 

White Car enjoys strong founding shareholders with proven experience in the sector. Christina Lawford is the founder and CEO of Diamond Air International, the premium ‘Meet and Assist’ service at over 475 airports and train stations worldwide. Diamond Air International also has a customer base of 3,000, ensuring an immediate and relevant marketing base for White Car.

The specialist Tesla B2B car hire busines, Eden EV Limited, is also a founding shareholder and will bring highly valuable experience to the business. They are joined by Berlin-based technology business, IXDS which has developed technology solutions for global brands such as Deutsche Telekom and Bosch. They will be responsible for the app which will be available on iOS and Android.
 
Using a similar business model to the hugely successful Silvercar in the US, which received a USD28 million investment from Audi earlier this year, White Car will remove all the hassle and confusion that currently comes with hiring cars, allowing customers to simply arrive and drive.

White Car’s fleet will consist exclusively of the Tesla Model S 90D, which is 4 wheel drive and has the largest battery in Tesla’s offering with a range of up to 346 miles (NEDC). The innovative approach to self-drive care hire guarantees that customers never have to settle for a different car to the one they originally booked.
 
Customers will make a booking through the simple and easy to use app, taking away the need for onerous paperwork. When a customer arrives at one of the White Car hubs, the premium quality Tesla will be delivered to the driver personally. The customer will use the app on their phone to gain access to the car, meaning no more lengthy transfers to car hire offices and an end to frustrating long queues at the kiosk.

Those living within 50 miles of Heathrow and all future White Car hubs, who are interested in having a Tesla delivered to their door, will be able to take advantage of free delivery. Equally, customers will be able to leave the car at any location of their choice for free if it is within 50 miles of the White Car hub. Those based further afield will be able to have a Tesla delivered to their choice of destination or drop off where they want, for the cost of a day’s rental.
 
There will be one highly competitive flat rate all-in price of GBP149 per day, inclusive of VAT, which is in the main, cheaper than hiring a BMW 5 Series or Mercedes E Class from an established car rental company. The all-in-one flat rate fee also ensures there are no baffling insurance options, and most importantly, no nasty hidden costs. With nearly 4000 electric charging points across the UK, there are also no fuel costs.
 
White Car is the brainchild of Mark Strachan, who says: “We are reaching an enormously exciting tipping point with the electric car market, with companies like Tesla paving the way for electric cars to become a mainstream reality. This combined with the fact that the car rental market in the UK and Europe is cumbersome, confusing and lacks innovation means there is a wonderful opportunity to disrupt the sector with the launch of a premium all electric car hire company.
 
“Our nimble model allows us to operate with substantially reduced overheads than traditional operators. This in turn means we can expand to new hubs quickly and provide a premium service with more convenience at a highly competitive price, which ultimately ensures we will provide an outstanding return for investors”.  
 
While White Car will initially open with a base in Heathrow it will look to expand into further sites in the UK and to Germany within the first year.

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