adverCar gets financing from N.O. Startup Fund

The New Orleans Startup Fund says it has closed on an initial round of financing for adverCar, a rapidly growing national transit media company headquartered in New Orleans. The funding is expected to allow the company to significantly expand its operating capacity and add 80 new direct jobs in the area over four years. “The mission of the Startup Fund is to help accelerate the growth of high-potential companies in the Greater New Orleans region that have national—or global—aspirations. This injection of capital will be very helpful to adverCar as they expand and seek additional financing down the road,” says Startup Fund Chairman Matt Wisdom. The adverCar model is based on strategic placement of advertisements on buses, taxis and private vehicles. The company uses a fleet of GPS-tracked vehicles on precisely chosen commuter routes and other driving-intensive areas as display advertising platforms. By saturating specific neighborhoods and commuter routes to reach specific target groups, brands’ messages can be delivered in a more focused fashion than with traditional advertising. Locally, LSU partnered with adverCar earlier this year to place ads for LSU basketball on fans’ vehicles. Greater New Orleans Inc. introduced adverCar’s founders to the New Orleans Startup Fund’s management team to complete the financing deal, the terms of which were not disclosed. The New Orleans Startup Fund is funded through a combination of private and public programs, including the U.S. Economic Development Administration and the Louisiana Office of Community Development/Disaster Recovery Unit.