By now, you’ve probably heard of Stinger Car Care, a company that provides cancer care to customers in Texas.
Stinger had already raised $50m in Series B funding, and announced that it was also launching a brand new, non-traditional, car care business model.
Now, a new report from VentureBeat shows that Stinger raised $6.6m in a Series A round led by Accel Partners.
The startup was founded in 2012 by a former Apple engineer, Jason Stinger, who joined the company as a consultant in 2014.
Accel, a startup accelerator that’s partnered with some of Silicon Valley’s most promising start-ups, is one of the most well-known accelerators in the tech industry, with more than 80 projects under its umbrella.
Stinger’s business model was to offer cancer care services through the use of an on-demand car service, which it calls Stinger Drive.
Acampos CEO Nick Stichter told VentureBeat that the service is a much simpler way of delivering care to patients than traditional car care.
Stichter explained that patients pay for a car insurance, which is usually a $2,500 deductible for the first two years of care, which can be topped up by a $50 deductible per visit during that time.
This way, Stinger has access to the most affordable car care options available, while not requiring patients to pay for car insurance at all.
Stichters business model also eliminates the need for insurance companies to administer and pay for cancer treatments, since they are not required to provide services to patients.
Accel Partners is the second funding round for Stinger that was led by a private equity firm.
The previous round was led in part by Acampotra Capital, a VC firm with extensive experience in the automotive industry.
Acampos co-founder Michael Lacey told Venturebeat that Acampo is investing in Stinger to build a scalable, fast-growing business that can compete against the likes of Uber and Lyft, which are building out new models that focus on the delivery of services rather than the purchase of cars.
“It’s really about building a platform that is scalable, scalable and fast-moving,” Lacey said.
“It’s the next-generation, cloud-based vehicle service platform, so it can provide more and more services for patients, which allows us to build out our infrastructure and deliver better value for patients.”
Acampotras first funding round was supported by Accelerate Partners, a private investment firm that has previously supported startups like Snapchat and Airbnb.
Accelerates latest round is led by Fidelity Investments, the second-largest publicly-traded investment firm in the US.