Moneycontrol Bureau
Car rental firm JustRide has raised USD 3 million in bridge round of funding led by Y-Combinator partners. The startup has so far raised USD 6.5 million, including this round.
The company is mentored by Google’s ‘The Launchpad Accelerator program’ and was one of the three Indian companies chosen by Y-Combinator this year, which is highest since its commencement in 2005.
Global investors such as Susa Ventures, Kima Ventures, Axan Ventures, SCM Holdings and IT-Farm also participated in this round.
Commenting on the development, JustRide’s co-founder Ashwarya Singh said, “The challenge is to build a sustainable car - sharing model to cater to the average urban commuters, while keeping in mind the interests of the car owners; who have a depreciating asset that is their car and does not get any return on it. By leasing their idle car, an average Indian can increase their income two-fold.”
The fresh funds will be used to bolster its car sharing platform JustConnect, which is a car sharing platform that helps to monetise the cars of the individuals, when not in use, and Yabber – an IoT device for cars which provides a real-time access to the location and performance parameters of the vehicle.
“Trust is the key in the sharing economy. This inspired us to expand the scope of our in-house Smart Vehicle Technology, which was initially used to study the driving behaviour of customers and offer incentives. We came up with Yabber, a plug & play on-board diagnostic device which lets cars communicate with external devices. The connected car concept solves the trust concern as it dishes out key inputs on driving behavior of customers. Yabber is also available as a stand-alone product for car owners,” said Hemant Sah, CTO, JustRide.
Currently, the company offers its services in Mumbai, Bangalore and Pune. It expects to turn into a profitable venture within the next 18 months.
It directly competes with Zoomcar, Carzonrent and Revv in the Indian car rental space.
Discover the latest business news, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!