Kovi, a Brazilian-based car rental platform, recently fund raised around $10.5 million led primarily by Monashees and Contxto along with ONEVC and MAYA Capital. The company plans on growing their fleet of vehicles from 600 cars to 5,000 cars.
Urban mobility is still uncharted territory for drivers without their own personal transport. Kovi solves this predicament by offering car rentals on its application. In the process, it manages entire fleets of vehicles while developing its very own niche.
Two former executives from 99 founded Kovi in August 2019, CEO Adhemar Milani Neto and CTO Joao Costa. Together, they launched a “light asset” model unique from traditional car rental companies.
Compared to competitors, Kovi cooperates with automakers and small rental companies to lease transportation out to last-mile delivery drivers. Automakers rent cars to Kovi at economic prices and then the firm resells them to users.
So far, the startup contracts cars from FleetSolution, Volkswagen’s fleet management extension. Leasing companies and small automakers benefit from this type of transaction as a means to grow and monetize. Drivers don’t accrue risks, either.
“We are in the beginning stages of an urban mobility revolution, like what happened with e-commerce 10 years ago," said Adhemar. “Carmakers are already realizing that cars will become more than a service but also an asset. They are beginning to adapt to that reality.”
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