Sequoia Takes The Zoomcar Ride. Invests $8mn.

They had to turn away customers 89 weekends in a row!

And while we are talking whether car ownership in India is all set to change, self-drive-only car company, Zoomcar has raised $8mn from Sequoia Capitalzoomcar

The car rental company started in Bangalore in February 2013, with 7 vehicles at 1 location.  It now has over 250 cars at about 40 locations across Bangalore and Pune, with plans to expand to Delhi, Mumbai, Hyderabad, Chennai, Goa, as well as other cities in India.

Zoomcar is unusual in the Indian car-rental space because it allows customers to drive themselves. Over 95% of the industry is chauffeur-driven, and what “self-drive” options exist are largely in the unlicensed and unregulated informal economy (DIY is not just in our blood?).

“Zoomcar has broken many conventions.

David and Greg are incredibly driven and determined entrepreneurs who moved to India from the USA to usher in a new era of self-drive. They have built technology to make an incredibly user-friendly experience, with all bookings happening through the web or mobile app. With those characteristics, they are seeing incredible demand and have had to turn away customers 89 weekends in a row.  We think they have a shot at changing the rules on car ownership in India.” [Shailendra Singh, Managing Director of Sequoia India]

Sequoia is being joined in this investment round by former Infosys CFO Mohandas Pai, Abhay Jain of the Manipal Group, and other strategic individuals.  Many prior investors are also increasing their stake, including Empire AngelsFundersClubBasset Investment Group, and funds advised by Triangle Growth PartnersZoomcar had previously raised $3M.

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