Z Nation Lab Incubatee Bike Rental Service ONN Bikes Secures Funding From Grace Capital Ventures

On-demand, self-drive bike rental platform, ONN Bikes has raised an undisclosed amount in funding from Grace Capital Ventures.

The company will utilise the funds to develop its technological base to further minimise human involvement in the routine ground operations.

Launched in May 2016 by Namit Jain and Shanky Munoth, the company provides two wheelers on a rental basis to companies and individuals, alike. It claims to currently have more than 400 bikes on the road in Bengaluru, Gurugram, and Hyderabad and plans to deploy 700 more bikes in the coming few months.

Onn bikes has been accelerated at Z Nation Lab, a startup incubator and accelerator that  focusses on startups with thrust areas including IoT, sensor technology, big data, robotics, medtech, education, mobile, and payments.

The startup currently operates under two separate verticals catering to both B2B and B2C clients. For businesses, ONN provides commercially registered two wheelers on lease rentals to logistic companies, food tech startups and other businesses. It also offers long-term lease options starting from six months to three years for the B2B segment. For B2C segment, ONN provides a fleet of vehicle options, from non-geared scooters to high-end motorbikes.

The startup’s official website boasts of services like point to point connectivity, doorstep delivery and pickup of bikes, security systems, GPS tracking system, on-site accident assistance with comprehensive insurance coverage, bike accessories, and merchandise.

The company intends to expand its operations in Jaipur and Pune and to about 54 cities and tourist destinations in next two to three years. Previously, ONN raised $100K in its angel round of funding, according to an official statement. It also plans to introduce electric bikes and ride sharing feature on its platform.

Earlier in March 2016, Bengaluru-based bike rental startup Wheelstreet raised $500K (around INR 3.4 Cr.) in a funding round from Broadbean Capital services, an early-stage, Seed and Pre-Series A venture fund. In October 2016, Hyderabad-based tech-enabled motorbike rental platform, Tazzo Technologies raised about $225K (INR 1.5 Cr) Seed funding from DSG Consumer Partners.

Other startups in this segment include WickedRide,  Stoneheadbikes, and Rentabike.

Note: We at Inc42 take our ethics very seriously. More information about it can be found here.