Investment type
- Development capital
Evolution Funding (Evolution) is a technology-led motor finance platform that connects car dealers and auto finance providers with multiple lenders.
Since it was founded in 2002, the business has grown to become the largest online auto finance marketplace in the UK with its funding platform widely embedded across UK automotive dealerships.
It employs almost 500 people and supports over 4,000 dealer forecourts, including national car dealerships such as Marshall, Sytner Group and Trust Ford and major online-only used car dealers such as Cinch and Cazoo.
It also has brand partnerships with the AA and fintech services like Experian and ClearScore, which offer access to direct-to-consumer channels.
Backing an ambitious team
In 2019 the management team, led by founder and CEO Lee Streets, chose to partner with LDC.
The partnership supported the firm’s expansion as it invested further in its technology and digital capabilities to scale the presence of its Dealer B2B and B2C propositions.
LDC understood our vision for the business from the off and shared the same ambition. This is a great outcome for our partners, customers and employees alike, and we’re hugely excited about our plans for growth.”
Driving growth
In addition to organic growth, Evolution also completed two key strategic acquisitions: Click Dealer in July 2021 and Motion Finance in May 2023. Click Dealer is highly complementary to Evolution’s existing services and supports its growth strategy to enhance its technology, digital capabilities, and SaaS proposition. Motion Finance has allowed Evolution to further grow its core market share in independent motor dealers.
Over the last four years, the business has almost quadrupled the total volume of advances it enables to reach £2bn. The business has also doubled its headcount.
A continued partnership
In July 2023, LDC agreed to exit its investment, and will be reinvesting alongside global investment firm Carlyle and Evolution’s founders and management team.
With a minority investment, LDC continues to support the next phase of the company’s growth, which will include expanding the range of dealers’ product offerings and exploring further M&A.
We would like to thank the team at LDC for their support over the last four years, investment in the development of our technology platform, and for helping us to position Evolution at the leading edge of the market. We are excited for this next stage of Evolution’s journey as we continue to transform the motor finance market.”
Awards
Best Service for Dealers
Car Finance Awards 2023
Car Finance Provider of the Year (independent lender)
Credit Strategy Awards 2023
Northern Tech Awards Top 100
2023
Best Broker
Car Finance Awards 2023, 2022, 2021, 2019, 2018, 2017, 2016 & 2015
Award for Innovation
Car Finance Awards 2021
Best Direct Consumer Proposition
Car Finance Awards 2019 & 2021
Best Specialist Car Finance Provider
Car Finance Awards 2019
Northern Tech Awards Top 100
2019