How Zoomcar lifted $45 million and set up itself in more than 26 cities

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Published by Vijay Singh on 22 Jun 2018

Bengaluru-based car rental platform Zoomcar has been operational since December 2012.

It boasts of a fleet of almost 3000 cars, which functions in more than 26 cities. Not only this, the company has raised about $45 million via funding.

Greg Moran, Co-founder and CEO Zoomcar remembered, “I was a day away from shutting down everything, returning the seed capital that I had raised from the investors, and going back home.”

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The company has affiliations with Mahindra & Mahindra, Ford and Tata Motors.

Planning a business in the Indian zone

“My interests academically were always geared towards India and China. After my education in the US, I took up a career in banking. The company had a presence in India. I knew everything about India before coming to Bangalore – had friends from the country, a working idea of what the country was like, and felt that it was a largely unexplored market,” added Greg.

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Greg took leave from his Wall Street job and he made up his mind to explore India. He reached India along with David, they shortly came to know that whilst there was a robust biz prospective for car rentals, but there were a number of infrastructural encounters.

Gre and David, in actual fact, also experimented with the hint of commencing a firm in the renewable energy space, but afterwards set their minds towards the transportation segment.

Zoomcar provided expediency, suppleness and relaxed mobility.

Geg said, “We actually beat Uber by a couple of months. Ola was already present in the market, and they were following a taxi aggregation model.”

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He also said that he had invested some of his funds into Zoomcar, and it was a make-or-break condition.

The only way out was to function with a subsisting player, which already boasted of an authorization.

“At that point in time, there were five of those (in Bengaluru),” added Greg.

“I did not book a return ticket (to India). I had one final meeting with Ramesh on the 23rd. We agreed on the terms and worked out a licensing agreement. I went back to the US on the 24th, but I could come back and that was a relief. It was extremely nerve-wracking and very stressful because it would have been awful to return money to investors before starting a business.”

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