TrueCar’s public offering on Friday showed that investors are willing to back a service bringing price clarity to new car buyers — and the founders of The Fuelist are hoping that same appetite for price clarity will drive demand for their vintage car and motorcycle pricing service.
People spend a lot of money on classic cars worldwide; with one English dentist set to receive a roughly $168 million payout for his collection of 450 classic cars. Roughly $13 billion changes hands between classic car collectors worldwide, according to Fuelist co-founder Thomas Rand-Nash.
According to a recent article in The Economist, the pace of investment in luxury vintage cars is rising faster than any other luxury asset. It’s no secret that rich investors are finding new things to speculate on and classic cars seem to be as good a place as any to park a few thousand (or a few million).
The Fuelist offers a way for buyers and sellers to compare pricing for vintage cars worldwide. A user can select from hundreds of different car makers and models to find the sales prices for a particular style of vehicle… or a range of prices for different cars. On Monday, the company will submit a mobile version of its online service through the iPhone app store, according to Rand-Nash.
Even private equity funds are creating strategies to invest in classic cars — and with the advent of an institutional investment community collectors or investors could find that the stock of “cherry” cars could be gone in 60 seconds.
Fuelist has spent the past several months in a private beta for its first 1,000 users, according to Rand-Nash, a serial entrepreneur who previously co-founded the mobile app development company Mobile Genius LLC with his Fuelist partner Matthew Hamilton.
Rand-Nash envisions several revenue streams for The Fuelist. At a basic level the company will be charging subscriptions for access to its business intelligence and analytics around car pricing and the best place to sell a vehicle. For investors or institutions, the company will offer comparable pricing tools so that a user can find a range of different vehicles sellign at a similar price point.
The company is majority owned by the OTC Bulletin Board listed The Chancellor Group, a conglomerate which owns both oil and gas and technology and media properties, according to Rand-Nash.
Photo via Flickr user Trailers of the East Coast