French startup Upway has raised a $25 million Collection A spherical led by Exor Seeds and Sequoia Capital. The corporate sells second-hand electrical bikes which were refurbished and are able to roll.
In some ways, Upway jogs my memory of on-line marketplaces for automobiles. The startup offers a seamless expertise for consumers who wish to purchase an electrical bike however don’t wish to pay the total value of a brand new electrical bike.
Behind the scenes, Upway buys electrical bikes from each customers and firms. The group brings these bikes to its warehouse, checks them, repairs them in some instances and lists them on their web site. After all, Upway tries to generate a small margin on each sale.
Along with Exor Seeds and Sequoia Capital, Origins can also be collaborating in at this time’s spherical. Origins is the VC agency backed by {many professional} soccer gamers, corresponding to Blaise Matuidi, Olivier Giroud, N’golog Kanté, in addition to Antoine Dupont (a rugbyman).
Current investor International Founders Capital is investing as soon as once more within the startup. Henri Moissinac, the co-founder and CEO of micromobility startup Dott, is becoming a member of the spherical as effectively.
Proper now, the startup operates in its residence nation France and Belgium. Bikes are shipped on to prospects from the identical warehouse in Gennevilliers close to Paris. However the firm is already fascinated with its subsequent strikes.
Upway will quickly launch its market in Germany, the Netherlands and the U.S. By the top of 2022, the corporate may have three totally different warehouses.
Gross sales of electrical bikes have been rising quickly in Europe. Producers are benefiting from this growth, together with some startups which have raised huge rounds, corresponding to Cowboy and VanMoof . However they continue to be costly items they usually additionally undergo from provide chain constraints.
Bikes (electrical or not) will play an essential function in the way forward for city mobility in main European cities. That’s why it’s essential to offer new methods to entry bikes. Electrical bikes extra particularly may even substitute many automotive rides outdoors of main hubs.
Some cities have invested closely in backed bike-sharing companies, corresponding to Vélib’ in Paris. Some corporations, like Dott, are shopping for hundreds of electrical bikes for his or her free-floating bike rental companies.
Firms like Swapfiets and Dance are additionally essential on the subject of democratizing electrical bikes. These startups allow you to lease a motorcycle for a flat month-to-month subscription charge. Whenever you cancel your subscription, you hand out the bike.
Coming again to Upway, individuals who wish to use an electrical bike to go to work or journey to highschool could contemplate getting their very own bike. Along with new bikes, it’s essential to offer totally different choices.
Upway makes electrical bikes extra reasonably priced. All bikes include a one-year guarantee and there’s no inventory situation as the corporate solely lists electrical bikes that it might probably promote proper means. Some prospects also can benefit from Alma to purchase now and pay later, in a number of installments with none curiosity.
The startup additionally offers equipment, corresponding to helmets, lights, bike locks and youngster seats. Finally, you might additionally think about including some insurance coverage product to your basket earlier than testing.
General, Upway sells 400 totally different fashions from manufacturers like Moustache, O2feel, Keola, Veloci, Arcade, Cowboy and VanMoof. There are at the moment 20 million electrical bikes on the European and American roads. These tens of millions of bikes may all find yourself on a second-hand market like Upway. And I’m not shocked that the startup managed to boost one other $25 million.
Picture Credit: Upway
