Iceland-based Hopp, a micromobility SaaS solution and e-scooter sharing franchise, announced that it has raised $2.8M (approx €2.47M) in a fresh round of funding to drive the international growth of its franchise strategy.
Hopp claims to provide a sustainable transportation solution for the modern city enabling riders to travel without leaving a carbon footprint. It aims to leave behind a cleaner planet, one ride at a time, with all parts of the business being carbon negative.
The investment came from Brunnur Ventures. It is a venture capital firm based in Iceland focused on Seed and early-stage investments emphasising innovation and growth.
The firm does not have a specific industry focus. However, it invests in companies that show growth potential in specific industry sectors. Currently, Brunnur Ventures manages two funds, Brunnur I and Brunnur II, with fund operation and administration provided by Landsbref, a fund management company licensed by the Icelandic Financial Supervisory Authority.
With this investment, Margrét Ormslev Ásgeirsdóttir, investment manager at Brunnur Ventures, will take a seat in Hopp’s board.
Ásgeirsdóttir says, “We’re investing in a different and more environmentally friendly way of travel as well as the sharing economy because that is the future. We believe that the Hopp thesis coupled with their team’s extensive knowledge has great potential, and with Brunnur’s investment the company can speed up its growth abroad.”
Funds for expansion
Hopp is focused on expanding its services to smaller cities, local travel, and smaller fleets. According to the startup, more than 95 per cent of cities in Europe with less than 500,000 inhabitants are currently unserved.
Hopp CEO Eythór Steinarsson says, “Our goal is to influence the electric scooter market in the same way as McDonald’s for the hamburger. We want to bring this technology to smaller cities where there is a big opportunity and to get locals to work with us. We want to bring the sharing economy to the way people travel daily.”
Mission to leave behind a cleaner planet
Founded in 2019, Hopp was launched in Iceland by a team of software developers with the belief that micromobility is for everyone, anywhere and its mission is to leave behind a cleaner planet, one ride at a time.
The company says, “Our carbon offset shipping and our service vehicles are all electric or carbon neutral. We aim to serve smaller communities that so far have been left out of the micromobility movement.”
The company is expanding its service by enabling individuals to launch and operate a Hopp franchise in their area, investing in a rapidly growing market, and launching their own fleet on an advanced software platform with guidance, curated best practices, and ongoing support. Franchisees can manage every aspect of their operation from a single comprehensive dashboard.
Hopp now has 2300 scooters and 170,000 users in 3 countries, growing at a steady rate, with all franchisees making a return on their investment within one year of launch.