Karshare announces £ 3million pre-series A funding to expand in UK
Karshare, the community-based carsharing app, has announced a £ 3million pre-series A ride. In addition to existing strategic investors Fullbrook Thorpe, Adjuvo Syndicate and other angel investors, Karshare announced a significant investment from Saracens Football Rugby Club owner Nigel Wray.
Wray said: “We are delighted to support Andy Hibbert and his team at Karshare. Perhaps this is particularly in today’s era, logically and ecologically, the way things are. Airbnb started somewhere – and who thought it would be what it is today! “
Since launching earlier this year, the company has deployed to four cities across the UK and this investment will be used to support expansion into new cities and to hire talent for its rapidly growing team.
Karshare is the first fully on-demand peer-to-peer carsharing platform in Europe. It allows people to rent their cars to others within their community. Unlike other platforms, Karshare’s keyless technology means all cars are instantly available. Renters can book immediately through the app and access the vehicle directly, without needing to agree on a time and date to collect the keys from the owner. Cars are also fully serviced and include breakdown coverage.
Since its launch, the company has built a team of 32 people and has been launched in Bristol, Manchester, Coventry and London so far.
Andy Hibbert, Founder of Karshare, said: “The opportunity to share cars is vast. There are 33 million private cars and 1.5 million vans registered in the UK. On average, these vehicles are idle 96 percent of the time. During the many hours that they are sitting outside people’s homes in the streets and alleys, they could be hired to controlled drivers in the area, put to use and generate income for the owners.
“We’re in the perfect position to make this easier – quickly, easily, affordably and with great guarantees for car owners and renters. Over the past 18 months, lives have changed dramatically, whether financially, socially or professionally; a lot of people don’t intend to go back to exactly what they were before. And with that comes a question about owning a car and the associated costs.
“Our vision for the future is where there are far fewer vehicles on our roads, and the vehicles we have are shared to give multiple users the access to the trips they need. Essentially, passing ownership to the user. The sustainability benefits are huge. For each shared car, up to 24 cars can be taken off the road. Carsharing will play a key role in moving to net zero, which will require 50% fewer cars on UK roads and as we move more to electric vehicles these benefits will continue to grow. “
Andrew Borkowski, CEO of Fullbrook Thorpe, said: “We have supported Andy and the Karshare team since May 2019 and share their passion for reinventing the rental car industry. It is a sector ripe for innovation, sustainable development initiatives and new technologies, all vital aspects of the peer-to-peer model. This latest round of funding will allow Karshare to grow its team, further develop the service and expand its presence across the UK.
The funds will be used to expand existing cities, launch new locations including Birmingham, Leeds and Edinburgh, further develop the team to include more community managers, marketing expertise and fleet technicians. Karshare also plans to grow its team of engineers to advance and differentiate technology for the benefit of its rapidly growing community.