The funds will be utilized to expand its operation to more cities & improve its technology platform.
With so many car rental companies already in existence, what is so special about Olacab? Well, the company is an aggregator of car rentals and point-to-point cab services. In other words, Olacabs does not own any of the cars that it can dispatch to pick-up or drop. Instead, it has tie-ups with small fleet operators and single vehicle owners. The portal is merely an access platform to get in touch with such owners who normally would not have a portal of their own.
Interestingly, Olacabs asks you to pay 20% of the probable charges in advance & has tied-up with EBS who acts as a payment gateway provider.
Olacabs had received seed funding exactly one year back. Is tie-up with Travel & Tourism companies on the cards? Tiger Global Management has always diversified their portfolios by investing in niche & upcoming companies. Have they picked another winner?