The first car rental service to launch in the US is raising $500 million in a new round of financing.
Car-rental giant Seatac raised the $500-million Series A round in a deal announced Monday with private equity firm Bessemer Venture Partners, which has previously backed companies like Airbnb and Uber.
The Series A funding will go toward making Seatac’s rental platform more accessible to veterans.
Seatac CEO Alex Pachter told the New York Times that the startup will work with the VA to help veterans get cars and other items for free.
Pachter said that the new funding will help the company expand into more cities in the U.S., where veterans are more likely to be homeless and in need of a car.
Searches for a new car can take a couple of weeks.
The company’s service, which now has more than 50,000 members, has already started to offer car rental to vets.
It also offers a “car-share” program that allows veterans to rent a car for short periods of time, but they need to show up for a rental appointment.