Last mile delivery specialist Whizz raises $3.4 million for e-bike rental platform

Whizz, an e-bike subscription platform for last mile delivery drivers, has raised $3.4 million from Joint Journey, TMT Investments and a group of angel investors in a seed round of funding.

This brings its total fundraising to date to $4.5 million.

The cash will be used to fuel the company’s growth; upgrade the Whizz Automation Platform, its ERP system for business process automation; and set up new locations in New York equipped with lounge zones, bike maintenance and repair stations, and overnight storage facilities.

“Our guiding principle is that every cent saved is a cent earned. The company has achieved a 300% annual growth rate and is on track to continue this trend in 2023. However, providing operational excellence and becoming the most efficient company in the e-bike rental market remains our primary focus,” says Mike Peregudov, Co-founder and CEO at Whizz.

“Our success is driven by being mindful in our approach, closely monitoring our expenses, and improving the efficiency of every process. The only thing we have invested heavily in is the Whizz Automation Platform, which is continuously helping us to reduce costs even further.”

“Our efforts have provided a return of best-in-class operational efficiency and strong profitable unit economics at the beginning of this year — we have already become profitable on the contribution margin level.”

“We intend to not only maintain these positive results, but to further improve the efficiency of Whizz as we expand to other cities in 2024,” says Ksenia Proka, Co-founder and CPO at Whizz.

“Whizz challenges the substantial and fast growing last minute delivery market, which requires both the ability to scale rapidly and the ability to remain efficient,” says Sergey Dashkov of Joint Journey.

“ I firmly believe that the founders of Whizz, who have previously built and exited two successful companies in the same space, are incredibly well positioned to achieve this goal.”