Getaround Announces $3.4 Million Seed Funding

Investors include Michael Arrington’s CrunchFund, Netflix founder Marc Randolph, Redpoint Ventures, and Vivi Nevo, Time Warner’s largest shareholder

TechCrunch Disrupt New York 2011

SAN FRANCISCO--()--Peer-to-peer car sharing service Getaround today announced it has received $3.4 million in seed funding from notable investors including Michael Arrington’s CrunchFund, Netflix founder Marc Randolph, Time Warner’s largest shareholder Vivi Nevo, Redpoint Ventures, and others. Additionally, Getaround released Version 2.0 of its iPhone app and announced significant momentum and adoption of its service.

"I'm excited that Getaround is among the first investments at our new venture fund,” says Michael Arrington, TechCrunch founder and venture capitalist. “Getaround has the potential to change the way we all think about and use cars, disrupting the automotive market along the way.”

In the few short months since the company’s TechCrunch Disrupt NYC win, more than 5,000 car owners nationwide have signed up to share their car through Getaround. Version 2.0 of the Getaround mobile app has been completely rewritten for stability; offering an enhanced search experience and new filters for quickly browsing cars.

Getaround reports that its top Bay Area car owners are on track to net from $6,000 - $10,000 dollars this year, with the average revenue across all active cars in the Bay Area tracking for approximately $4,000 dollars per year per car. Car sharing is enabling several car owners to completely offset their monthly car payment through Getaround’s platform.

“Getaround is a great example of what we look for in a portfolio company—tangible IP that can be efficiently commercialized to address an existing market problem,” says Jeff Brody, founding partner at Redpoint Ventures. “What Getaround has introduced is a solution that makes car sharing convenient for users, while enabling car owners to make money off their underutilized cars.”

In addition to the previously mentioned investors, the seed round also includes angel investment from Barney Pell (Powerset founder), Matt Mullenweg (Wordpress founder), Simon Rothman (eBay Motors founder, early Tesla board member) and Farhad Mohit (Shopzilla founder, Bizrate founder). Several funds also co-invested in the round alongside Jeff Brody for Redpoint and Michael Arrington for CrunchFund, including Chris Farmer for General Catalyst and Len Jordan for Madrona Venture Group.

“This level of contribution from a respected list of experienced investors and the enthusiasm we’re seeing from consumers embracing the Getaround service are clear indicators that the peer-to-peer model is a perfect fit for car sharing,” says Sam Zaid, CEO at Getaround. “This funding gives us the capital we need to build out our platform, continue producing the cutting-edge technology that makes peer-to-peer car sharing even more accessible and to plan our expansion into new communities that are clamoring for the service.”

Getaround enables car owners to “un-idle” their cars and offset the cost of vehicle ownership by sharing with friends, co-workers, and neighbors, while people seeking cars are provided easy, affordable access to vehicles everywhere. The Getaround Carkit™ combines GPS, Wi-Fi, and keyless remote technology to allow safe and simple sharing of cars and is the first device designed exclusively for peer-to-peer car sharing.

Requiring no membership fees, Getaround members can sign up and begin renting immediately. Owners interested in making their cars available can complete the form at getaround.com, where they can also find answers to frequently asked questions.

Download the new version of the Getaround iPhone app from the iTunes store.

About Getaround

Getaround specializes in providing a seamless, peer-to-peer car sharing experience by providing proprietary smartphone and in-car technology that empowers users to easily and safely share vehicles. For as little as $3 an hour, members can conveniently rent nearby cars by the hour, day, or week; and save hundreds or even thousands of dollars on auto payments, insurance, and maintenance. Car owners can offset the high cost of ownership, while making a positive impact on the environment. Sign-up today at getaround.com.

Contacts

Schwartz Communications
Kim Angell or Steven Webb, +1 415-512-0770
Press at Getaround dot com
www.getaround.com

Release Summary

Peer-to-peer car sharing service Getaround today announced it has received $3.4 million in seed funding from notable investors including Michael Arrington’s CrunchFund.

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Contacts

Schwartz Communications
Kim Angell or Steven Webb, +1 415-512-0770
Press at Getaround dot com
www.getaround.com