Karshare secures funding from Saracens Rugby owner in latest £ 3million investment round
Community car-sharing start-up Karshare has secured £ 3million in new funding, including a significant investment from Saracens Football Rugby Club owner Nigel Wray, alongside existing strategic investors Fullbrook Thorpe, Adjuvo Syndicate and ‘other angel investors, to develop its peer-to-peer model.
Founded in 2020, Karshare provides a carsharing platform intended solely to serve communities in their neighborhoods and at airports.
Andy Hibbert, Founder of Karshare (pictured above) 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% of the time. During the many hours that they are sitting in front of people’s houses in the streets and alleys, they could be hired from controlled drivers in the area, put to use and generate income for the owners.
Karshare is an innovation developed by Car & Away, the Bristol and Gatwick Airport carpooling service that allows holidaymakers to rent their cars while on vacation, and is touted as the first fully peer-to-peer carpooling platform. on demand. in Europe. The pandemic has had a dramatic impact on the travel industry and Karshare said it continues to work with its long-term partner London Gatwick Airport to resume carpooling services at the airport as volumes of trips were returning to pre-Covid levels.
Meanwhile, Hibbert said company departments were well positioned to benefit from the pandemic recovery, noting, “We are in the ideal position to facilitate this – quickly, easily, affordably and with great insurances 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 car ownership and the associated costs.
He continued, “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. “
Increase in income
Karshare uses keyless technology to make cars 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. The company says the service gives car owners the opportunity to increase their household income by up to £ 550 per month, which can prove to be a valuable ‘side fuss’ for those who have seen their wages drop for pandemic, while renters have the opportunity to hire a car in a more affordable, sustainable and convenient way than is possible through traditional car rental companies.
Over the past six months, Karshare has reported a 45% increase in month-over-month revenue growth and 70% growth in membership month-over-month. It has now launched in four cities: Bristol, Manchester, Coventry and London.
The new capital will be used to expand into existing cities, launch new locations including Birmingham, Leeds and Edinburgh, as well as rural communities such as Strathaven and Talybont, and further develop the team to include more community managers, marketing expertise and fleet technicians. Karshare also plans to grow its engineering team to advance and differentiate technology for the benefit of its rapidly growing community.
Karshare new investor Nigel 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 done. Airbnb started somewhere – and who thought it would be what it is today! “