South Floridians who do not own a car have a new way to access a vehicle when they need it.
Go, a subscription car startup headquartered in Philadelphia, this week launched its service in four new markets, including Miami. The company is targeting daily drivers who may not be able to purchase or lease a vehicle outright.
“Go was created to streamline and simplify an antiquated process," said founder and CEO Michael Beauchamp, who said the company offers an alternative to traditional car ownership. "Customers win thanks to technology and efficiency driving our unique business model."
Founded in 2020, Go claims it is the first car subscription service to target daily drivers instead of short-term renters. It raised a $41.25 million seed round in October on the heels of its launch in Philadelphia, with investors that include New York private equity firm Synterra Capital Management.
Go offers up to three-year terms for a car with a flat monthly rate, with no down payment required.The startup charges a $495 restocking fee for customers who want to return their cars before the three-year term is up.
Users can select the make and model of the car they want on Go's website or app. To qualify, customers must have a credit score of at least 700 and pass a driving record check. If they meet those requirements, Go will deliver the car right to the user's home at no cost, unless they live more than 50 miles away from a major airport.
Monthly payments for a vehicle, which start at about $220, include the cost of maintenance, annual inspections, roadside assistance and title and registration. Customers must cover their own insurance.
Go is currently available in Miami, Philadelphia, Northern New Jersey, Atlanta, Dallas, Houston, Charlotte, North Carolina; and Orlando. The startup reports it will enter additional U.S. markets in mid-2022.
South Florida's sprawl and lack and public transit makes it a prime location for car startups and ride-hailing businesses. Zoom Ride, a Detroit-based ride-hailing app, expanded to South Florida last year and said it could move its headquarters to Miami or Orlando. In August, Lyft (Nasdaq: LYFT), Ford and self-driving car startup Argo AI announced they are partnering to pilot an autonomous car program in Miami before expanding to Austin, Texas.
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