Lendbuzz

Lendbuzz offers auto-financing to customers with poor or no credit history or social security number by leveraging its proprietary AI and machine learning platform that incorporates alternative data to determine creditworthiness. Customers can opt for financing directly from its app or through a car dealership with most applications being pre-qualified according to the company. The whole process from application to funding is automated with applications approved within a day if all the information is provided promptly by the customer. In addition, Lendbuzz offers refinancing options for existing car loans. However, it will only approve loans against vehicles with model years from the past nine years and under 120,000 miles; it will not approve loans against vehicles with salvage titles.

The company operated in most states except Alabama, Delaware, Hawaii, Idaho, Louisiana, Mississippi, Montana, Nevada, North Dakota, Rhode Island, South Dakota, Vermont, West Virginia, and Washington DC as of November 2022.

Funding and financials

In October 2023, the company raised USD 345 million in a funding round , comprising of USD 45 million in equity and USD 300 million through a forward flow facility. The round was led by Group 1001. It had planned to use the fresh funds for R&D and product innovation. In addition, it secured a USD 100 million warehouse facility from Mizuho Americas in May 2024, with the funds earmarked to expand and fund its loan operations.

In 2022, the company reported that its revenue improved by 135% YoY, and by over 80% YoY in the 1H 2023, surpassing an annual revenue run rate of USD 200 million.

Key competitors: None comparable (Lendbuzz is the only startup that offers auto-financing to customers with poor or no credit history or social security number.)