Mecho Autotech, a startup offering automotive spare parts, vehicle repairs and maintenance services, has raised a $2.4 million pre-Series A round. The firm targets the Nigerian market, where 90% of the country’s more than 12 million registered cars (mainly used) require regular maintenance to avoid recurring breakdowns.
Its primary business connects vehicle owners (individuals and fleet owners) with workshops that handle vehicle repairs and maintenance. Retail consumers in Nigeria often have three alternatives for performing automobile repairs: utilize OEM mechanics, aftermarket mechanics, or roadside mechanics. Because automobile parts are made in-house, OEM technicians provide high-quality but pricey services. On the other hand, most car owners can afford the services of aftermarket and roadside technicians, which have less quality.
Since its inception in 2021, Mecho Autotech has seen more than 6,000 cars from B2B and B2C clients undergo repairs and maintenance from over 110 approved workshops (three of which it owns). In the process, the majority of the issues the firm has had in executing these repair and maintenance requests have come from acquiring quality replacement parts, according to CEO Olusegun Owoade in an interview.
Mecho Autotech said last January that a portion of its seed funding will be used to grow its after-sales spare parts value chain. Similarly, the business will double down on wholesale distribution of these parts with its current pre-Series A investment.
