Canada Tire invests in WeeL vehicle service startup

TORONTO — WeeL, a technology startup based in Toronto, has raised more than $750,000 in Canadian dollars ($546,090 U.S.) in its first round of external fundraising, with Quebec-based tire distributor La Cie Canada Tire Inc. as a major investor.

WeeL, which has been providing mobile at-home car maintenance and repair services in the Greater Toronto area, said it is raising capital to strengthen its predictive-pricing modeling to bring transparency to consumers who prefer on-demand mobile servicing with real-time, guaranteed pricing.

The fundraising round was led by Canada Tire, which operates in Ontario as Canada Supply & Tire, along with angel investors, including Michael Galego, Stephen Arbib and Lorne Gertner.

"Canada Tire chose to invest in an auto-tech startup like WeeL because of its potential to modernize the automotive aftermarket," Canada Tire CEO Gabriel Granatstein said.

"We believe the platform provides tremendous value and efficiency for all participants in the auto ecosystem and is strategically aligned with our core business and vision for the future of the industry."

Founded in 2017, WeeL provides a website where vehicle owners can schedule services with mobile mechanics or auto service shops and receive upfront pricing.

WeeL said that many consumers are overwhelmed and anxious about servicing their vehicles because they lack sufficient information to make informed decisions on where to service their vehicles and how much it should cost.

"WeeL is bringing car maintenance and repairs to the doorstep of Canadians through its proprietary technology in a fast, convenient and transparent way," WeeL founder and CEO Rob Ostfield said.

"The capital WeeL raised will enable us to demystify the costs of car repair in an industry that often leaves consumers feeling intimidated when it is time to pay the bill. Our technology will provide customers with upfront, guaranteed pricing for most car repairs and maintenance services which will bring much needed transparency to the process.

"Our investors recognize the opportunity this technology presents to shift the paradigm of car maintenance to put the driver at the center. In an era when consumers want services and products delivered right to their doorstep, WeeL is at the forefront of making car maintenance and repair as fast and convenient as possible."

WeeL said the infusion of capital and new strategic partners will enable the company to expand its network of vetted service providers, connecting them with new customers through WeeL's online platform.

For customers, WeeL said its pre-screening is meant to instill confidence that only qualified mechanics with expertise on their type of vehicle will service their vehicle.

For mechanics and service providers, WeeL said it offers them an opportunity to fully monetize their schedules and gives them access to a wider target audience in a convenient and fully-integrated way.

"Many of these auto repair professionals are small, family-owned businesses. Investing in customer-facing technology to bring them into the 21st century is not always possible," Ostfield said.

"WeeL can be their technology partner to help them grow their business and attract new customers through our mobile servicing platform."