WASHINGTON — San Francisco-based startup Shift Technologies Inc. will expand to Arlington, Virginia and says it will create 100 new technology and engineering jobs as part of its $20 million investment.
Shift Technologies head of product and business development Toby Russell and Virginia Gov. Terry McAuliffe made the announcement at the 1776 technology startup incubator in Crystal City on Thursday.
Shift runs a peer-to-peer used car buying service in its San Francisco hometown that manages most of the process for both buyers and sellers. It includes a concierge service that arranges test drives for potential buyers, on-site appraisals and car pickup. It also handles routine inspections, vehicle detailing and Department of Motor Vehicle paperwork.
In effect, it does everything to get a seller’s car ready for sale to managing buyer inquires. Shift also says it guarantees sellers a minimum price for their vehicles.
So how does Shift make money and what does it cost sellers?
Shift spokeswoman Jamie Radice says there is no upfront fee. Shift and the seller agree to a minimum selling price. Anything above the agreed minimum selling price is split 50-50 between Shift and the seller.
The company’s Virginia expansion comes after recently opening in San Diego. The company says it plans to be operating in 20 markets by the end of 2016.
Shift Technologies has raised about $74 million in funding so far.
The company will get state incentives, with funding and services to support employee training through the Virginia Jobs Investment Program, though McAuliffe’s office did not immediately disclose the amount.
Shift will initially operate out of the 1776 tech incubator in Crystal City before leasing its own office space. The company says it will begin service in the D.C.-metro region soon, but did not provide an actual date.
The founders are no strangers to the D.C. transportation market.
Russell and Shift chief executive George Arison started Arlington-based Taxi Magic in 2007.
