Uber Incentivizes Drivers to Join by Offering Car Discounts On-demand car service Uber has teamed up with GM and Toyota to provide drivers discounts on car purchases and friendlier financial terms.

By Andrea Huspeni

Opinions expressed by Entrepreneur contributors are their own.

As Uber continues to gain traction in major metropolitan cities, it is looking to get more drivers on board by providing discounts on car purchases.

The on-demand car service has partnered up with Toyota and GM in six high-demand cities – New York City, Chicago, San Francisco, Boston, Dallas and Philadelphia – to offer financing options to new and current drivers. Some drivers have already received $7,500 in rebates upon purchasing vehicles and when it comes to financing, Uber drivers' monthly payments will likely decrease $100 to $200 a month.

Related: Car-Service Company Uber Reportedly Valued at $3.5 Billion

The company was able to swindle these partnerships based on past financial figures. According to Uber, the company's fully-utilized vehicles rake in more than $100,000 in gross sales a year, a data point that allowed drivers to qualify for friendlier terms and lower rates.

This move will not only help Uber in its expansion strategy but could also play a role in overcoming regulation barricades in cities like New York and in poaching drivers from competitors like SideCar and Lyft.

Related: How This Car-Sharing Company Is Growing Up, Fast

Uber currently operates in more than 60 locations around the globe, with the most recent being Moscow. The company's CEO, Travis Kalanick, told The Wall Street Journal he hopes to add an additional 200,000 vehicles to its arsenal in the next two years.

Andrea Huspeni

Founder of This Dog's Life

Andrea Huspeni is the former special projects director at Entrepreneur.com and the founder of This Dog's Life.

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