Kansas City Startup BacklotCars Is Acquired By KAR Auction Services

Kansas City startup, BacklotCars was founded in 2014 by Ryan Davis, Josh Parsons and Fabricio Solanes. BacklotCars provides direct access to true wholesale inventory from new car stores, allowing dealers to buy cars more easily. They are a web-based dealer-to-dealer automotive platform. With their pre-inspected inventory of new cars and low fees, BacklotCars allows dealers to purchase a large variety of cars in areas they otherwise couldn’t. Their website and mobile app make buying wholesale easy, transparent, and enjoyable. 

BacklotCars currently employs 187 full-time employees, 90 of which are based in Kansas City. They now serve dealers across 46 states and have scaled its operations and marketplace since their inception in 2014. They have been able to leverage technology to deliver upon the mission of making wholesale easy. The company has been on a rise with an significant expansions in 2019 and their growth has only accelerated in 2020. Because of the COVID-19 pandemic, much of the automotive industry has turned to a digital-first approach to wholesale, making Backlot Cars more popular.

Recently, BacklotCars was acquired by KAR Auction Services, an all-data marketplace solutions platform. KAR Global powers the world’s most trusted automotive marketplaces through innovation, technology and people. Their end-to-end platform serves the remarketing needs of the world’s largest OEMs, dealers, fleet operators, rental companies and financial institutions.

BacklotCars is expected to remain headquarted in Kansas City upon aquistion. “KAR Global is the most innovative and progressive digital remarketing company in the world, and their entrepreneurial roots and culture are a great match for BacklotCars,” said Justin Davis, CEO of BacklotCars

 “BacklotCars has grown rapidly in the highly competitive dealer-to-dealer space and is the perfect complement to our current capabilities and footprint,” said Jim Hallett, chairman and CEO of KAR. “I’m confident the addition of Backlot’s leadership, technology, and exceptional customer-service model will quickly benefit our combined customers, enhance KAR’s competitive position and accelerate growth for both organizations.”

Read the full article from Startland News.