Gomechanic

New Delhi, Dec 25 Car services and repair platform GoMechanic expects over three-fold rise in net revenue to Rs 700 crore by 2027 and thereafter go for..

Under new helm, GoMechanic hits operational profit in first quarter of FY25

Acquired in a distressed sale by Servizzy in March 2023, Gomechanic said it reported revenue to the tune of Rs 210 crore from services, spares, and accessories in FY24.

From GoMechanic to ZestMoney: Why thousands of startups shut shop in 2023

While companies such as Zestmoney and Striker saw their business models fail after a tighter regulatory landscape, several others simply couldn’t find their product market fit (PMF).

GoMechanic raises $6 million in round led by undisclosed investor

With the fresh capital, the startup aims to focus on expanding business lines and creating transparency and cost efficiency internally

Zerodha's Nithin Kamath on root cause of corporate governance issues in Indian startups

Kamath also said that most of the governance issues coming to the fore now and in the future will likely not be traditional fraud but misreporting things to justify the stories founders have oversold to raise capital.

A dishonest founder will find his way around regulation, governance measures: Sanjeev Bikhchandani

Info Edge founder argues that auditors and independent directors are there to save founders from themselves

GoMechanic finds a buyer in consortium led by Lifelong Group

This comes two months after founder Amit Bhasin admitted to financial reporting errors and announced that the cash-strapped company will lay off roughly 70 percent of its workforce while also having its accounts audited by a third party.

Only topline important, not bottomline being propounded by VCs is like a Ponzi scheme: NR Narayana Murthy

In response to a question on balancing the aspirations of startups to grow as quickly as possible versus keeping costs in check, Murthy held the investors responsible.

GoMechanic claims January volumes at 70% of peak, says 90% workshops remain active

The Sequoia-backed car services platform claimed that it serviced 30,000 vehicles, which was almost 70 percent of the volumes it achieved in July 2022, with the Delhi-National Capital Region contributing the most. GoMechanic also said more than 800 workshops were active as of January.

Big 4 auditors need to double down on diligence to net willful fraudsters, says Sequoia Capital’s Rajan Anandan

Sequoia Capital’s Rajan Anandan stated that the ecosystem should focus on startups much earlier in terms of governance practices that need to be put in place.

GoMechanic crisis: Startup funding due diligence to get stricter and longer

As the final verdict on GoMechanic awaits, the VC ecosystem is rethinking its ways. Founders will find their funding getting delayed and there will be more questioning. Even early-stage investments may take longer time now, investors said.

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Following lapses at Zilingo & GoMechanic, Sequoia considers auditing South Asia Investments

In the latest headache for Sequoia Capital India, a due diligence run by EY on its portfolio company GoMechanic for other prospective investors had unearthed bookkeeping improprieties, missteps the startup’s co-founder accepted in a public statement last week.

GoMechanic taps Cars24, Spinny for a distress sale

GoMechanic's latest funding round was called off last week following alleged misreporting of financials during due diligence, which the founders later admitted to.

GoMechanic fiasco may be the end of honeymoon for Indian startups

The GoMechanic episode casts a dark shadow over all participants in the fray including deep-pocket investors, Sequoia and Tiger Global, the media which rushed to celebrate their unrealised success and, of course, the founders who may have even ignored warnings of financial irregularities from their auditors

GoMechanic fraud: How chasing growth at all costs brought down a rising startup

GoMechanic had all the right mix to be a pioneer in the garage services business. It had the first-mover advantage, IIM A-graduate founders, big names of the VC world either invested or interested, a strong customer base, and a network of nearly 1,000 garages across 40 cities in place. Yet things went downhill.

What GoMechanic co-founder said after announcing 70% staff lay-offs. Read full post

GoMechanic has announced that approximately 70 per cent of its workforce will be laid off.

EY is said to allege Sequoia-backed GoMechanic inflated revenue

EY’s research alleged that about 60 of the more than 1,000 GoMechanic service centers may have violated accounting norms to overstate revenue and divert funds, the people said, asking not to be identified discussing sensitive information.

GoMechanic founder admits to financial reporting errors, to lay off 70% of workforce

GoMechanic was in talks to raise $75-80 million in a funding round led by SoftBank, but the deal was called off due to accounting irregularities

SoftBank plans $35 millon bet on India's GoMechanic: Sources

SoftBank has for years been a prominent backer of Indian startups, investing close to $4 billion last year alone, according to data from Venture Intelligence. Its big-ticket investments include digital payments firm Paytm and online education firm Unacademy.

GoMechanic plans to issue shares worth Rs 30 crore to service partners

GoMechanic, an aftermarket platform for automobile service and maintenance, announced on Tuesday that it would be offering its service partners shares worth Rs 30 crore as part of an incentive programme.

GoMechanic raises $42 million in Series C funding led by Tiger Global, Sequoia Capital

Tiger Global continues its dealmaking frenzy, leading a $42 million funding round in car service startup GoMechanic.