- Photos: Turo
Turo is putting up 1 million dollars in an effort to spur a drive for economic equality in the US.
The world’s largest peer-to-peer car-sharing marketplace, Turo, has partnered with the non-profit organisation Kiva to provide interest-free vehicle loans to members of underserved communities. The “Turo Seed Initiative” is being launched with the aim to address the wealth gap in the United States.
Minority groups tend to have fewer opportunities to access fair credit, and have also been impacted by Covid-19 at a disproportionate level. Hence a need for investment in economic growth opportunities and equal-opportunity wealth creation. Turo CEO Andre Haddad says putting up to one million dollars into combatting rising wealth inequality is not just the right thing to do, but a necessity.
Under the scheme, qualified applicants can generate up to 15,000 dollars in capital to launch their business as an independent car-sharing partner with Turo. Up to 7,500 dollars can be raised on the crowdfunding platform provided by Kiva, and then supplemented by an interest-free matching loan from Turo. Turo then grants a one-month payment break before repayment begins over a period of 42 months.
For now, the programme is limited to Turo’s top 15 markets, including San Francisco, Atlanta, Boston and Houston. On average, car sharers registered there earn about 600 dollars for about 11 days a month that their vehicles are available on the platform. The rest of the time they can still drive for taxi services like Uber or Lyft, or delivery companies such as DoorDash and Grubhub, to maximise the profitability of their vehicle.