London-based Zeelo, a smart bus platform that designs, manages and optimises transport programmes for organisations, announced that it has secured $14M (approximately €12.82M) in a Series A round of funding.
Sam Ryan, co-founder of Zeelo, says, “As a founder, closing a funding round doesn’t feel like many think it does. Fundraising processes are long, arduous and distracting. The first thing you want to do is get back in the business and to aim higher; instead of stepping back, celebrating and reflecting on what’s been achieved and what we’ve learned.”
Zeelo’s current round of funding came from FlatzHoffmann, IREON Ventures, and existing investors ETF Partners and InMotion Ventures, and undisclosed angel investors.
Capital utilisation
Zeelo says it will use the money to accelerate its operations, expand its team, and introduce new technology products.
The company’s focus is on serving US enterprise clients and operators by providing shuttle transportation solutions for employee commutes across the East and West coasts. The goal is to enhance services, innovate with technology, and cover a broader geographical area.
Zeelo, operational on three continents, is accelerating its US expansion by establishing a second headquarters in Boston, Massachusetts.
Co-founders Sam Ryan and Barney Williams have relocated to manage team growth and demand, while CTO Dani Ruiz remains in Europe for product development.
The company has already secured contracts with clients like Fidelity, prominent multi-site corporate enterprise clients, an e-commerce marketplace, and a global logistics business, emphasising its focus on the US market.
Ryan says, “Developed markets are underserved for daily mass transportation needs and we have seen increased demand for our transit-tech solution in the US over the past 12 months. Due to this demand, we’ve had a growing number of requests from shuttle operators to leverage our technology to improve their client relationships and streamline operations.”
“This new capital will accelerate Zeelo’s expansion across the US for an accelerated rollout of large scale, multi-site transportation contracts, with some of North America’s biggest household brands, as well as further investment in our software offering,” adds Ryan.
Transportation for commuting and school runs
Founded by Sam Ryan, Barney Williams and Dani Ruiz in 2016, Zeelo is a smart bus platform for organisations. The startup claims to be modernising daily bus commutes for frontline workers and students by helping them get to work and school in a faster, smarter, and greener way.
Additionally, the platform also offers clients insightful data for improved planning of workforce, production, and staff punctuality, leading to benefits. On average, clients save 12 hours weekly in administrative tasks, increase bus ridership by 50 per cent, and achieve a 43 per cent annual cost reduction for employee shuttle transportation.
The company’s transport management software integrates SaaS platform, “unique” routing algorithms, GPS-based route optimisation, and ride-sharing apps to deliver reliable, subsidised and sustainable bus services in underserved areas.
Zeelo not only offers CO2 emissions savings to clients but also pledges to shift all services to net-zero emissions battery-electric buses by 2030.
In 2022, the company offset over 2,600 tons of CO2 emissions and generated over 26,000 job opportunities. 70 per cent of Zeelo riders depend on the service for their daily commute, crucial for their employment acceptance.
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