IQ Cars Secures Seven-Figure Funding to Revolutionize Iraqi Auto Market

Deal News | May 05, 2025 | Aim Group

IQ Cars, an Iraq-based auto marketplace founded in 2020, has closed a significant seven-figure Seed A funding round, with Euphrates Ventures leading the investment. The platform, which has grown to host over 34,000 car listings from across Iraq and serves a community of 420,000 members, has also registered as the country's first startup Private Joint Stock Company. Its founder and CEO, Amer Salih, highlighted the company's achievements, including a reported 108% yearly revenue growth in 2024 and 115% growth in lead generation for car sellers. The funding is aimed at expanding operations, particularly across five cities, and enhancing its service offering. Felgenhauer of Euphrates Ventures praised the platform for disrupting Iraq's car market by providing transparency and lower transaction costs. The move to register as a joint-stock company is expected to contribute to Iraq's broader economic development.

Sectors

  • Automotive Marketplace
  • Venture Capital
  • Technology

Geography

  • Iraq – IQ Cars and its operations are based in Iraq, focusing on transforming the local car market and contributing to the economy.

Industry

  • Automotive Marketplace – IQ Cars operates in the automotive marketplace industry by facilitating transactions between car buyers and sellers in Iraq.
  • Venture Capital – Euphrates Ventures is a venture capital firm that provides funding to startups like IQ Cars to support their growth and innovation.
  • Technology – IQ Cars uses technology to offer various services such as car reports, smart pricing, and fleet management, enhancing the customer experience.

Financials

  • Seven-figure – The amount of funding secured by IQ Cars in their Seed A round led by Euphrates Ventures.
  • 108% y-o-y – IQ Cars' reported year-over-year revenue growth for 2024.

Participants

NameRoleTypeDescription
IQ CarsTarget CompanyCompanyAn online marketplace for buying and selling cars in Iraq, providing services such as smart pricing and fleet management.
Euphrates VenturesInvestorCompanyA venture capital firm that led the funding round for IQ Cars to support its expansion and technological enhancement.
Amer SalihFounder and CEOPersonThe founder and CEO of IQ Cars, committed to transforming Iraq's auto market through innovation and transparency.
Grant FelgenhauerManaging PartnerPersonManaging partner at Euphrates Ventures, involved in funding IQ Cars and praising its disruptive impact on the market.