French startup Upway has raised a $25 million Sequence A spherical led by Exor Seeds and Sequoia Capital. The corporate sells second-hand electrical bikes which have been refurbished and are able to roll.
In some ways, Upway jogs my memory of on-line marketplaces for automobiles. The startup gives a seamless expertise for consumers who need to purchase an electrical bike however don’t need to pay the complete value of a brand new electrical bike.
Behind the scenes, Upway buys electrical bikes from each customers and firms. The staff 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 taking part in at the moment’s spherical. Origins is the VC agency backed by {many professional} soccer gamers, similar 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 tip of 2022, the corporate can have three totally different warehouses.
Gross sales of electrical bikes have been rising quickly in Europe. Producers are benefiting from this increase, together with some startups which have raised large rounds, similar to Cowboy and VanMoof . However they continue to be costly items and so they additionally undergo from provide chain constraints.
Bikes (electrical or not) will play an vital function in the way forward for city mobility in main European cities. That’s why it’s vital to offer new methods to entry bikes. Electrical bikes extra particularly may even change many automobile rides exterior of main hubs.
Some cities have invested closely in sponsored bike-sharing providers, similar to Vélib’ in Paris. Some firms, like Dott, are shopping for 1000’s of electrical bikes for his or her free-floating bike rental providers.
Firms like Swapfiets and Dance are additionally vital in relation to democratizing electrical bikes. These startups allow you to lease a motorbike for a flat month-to-month subscription charge. While you cancel your subscription, you hand out the bike.
Coming again to Upway, individuals who need to use an electrical bike to go to work or experience to highschool might take into account getting their very own bike. Along with new bikes, it’s vital to offer totally different choices.
Upway makes electrical bikes extra reasonably priced. All bikes include a one-year guarantee and there’s no inventory concern as the corporate solely lists electrical bikes that it could promote proper means. Some prospects may benefit from Alma to purchase now and pay later, in a number of installments with none curiosity.
The startup additionally gives equipment, similar to helmets, lights, bike locks and little one seats. Finally, you possibly can additionally think about including some insurance coverage product to your basket earlier than testing.
Total, 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 thousands and thousands of bikes might all find yourself on a second-hand market like Upway. And I’m not stunned that the startup managed to lift one other $25 million.
