Mumbai Based Car rental startup JustRide raises 20 Crore (about $3 million) funding from global investors, including Y-Combinator partners. Justride will use funding for expanding the company’s car-sharing platform JustConnect and developing Yabber, an IoT device that works on connected car technology and data analytics to analyze the driving skills of the customers.
“A vast majority in India do not have access to personal transport, presenting an extensive market for car rentals. 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,” said Ashwarya Singh, chief executive officer and co-founder, JustRide.
The investors who participated in the current round include Y-combinator partners Justin Kan (co-founder Jutin.tv and Twitch.tv), QasarYounis (chief operating officer, Y Combinator) and Paul Buccheit (creator of Gmail), Francisco-based Susa Ventures, Kima Ventures, Axan Ventures, SCM Holdings from London and IT-Farm from Japan.
JustRide, which had recently switched to a car-sharing business model from its aggregator-based model, helps to monetize the cars of individuals, when not in use. The company was chosen to be part of Google’s ‘The Launchpad Accelerator program’ and is one of the three Indian companies chosen by Y-Combinator this year.
The company is at the concluding stage to raise a fresh round of equity from major American firms to invest in its in-house Smart Vehicle Technology, a press statement said.