Shuttlers is based in Lagos but aims to operate across the continent
By Jeph Ajobaju, Chief Copy Editor
Shuttlers has raised $1.6 million funding to expand workers’ mobility options beyond Nigeria to other parts of Africa, a vast continent of 54 countries and 1.2 billion people, most of whom are under 30, a creative and agile demographic.
The seed funding round for the tech-enabled scheduled bus sharing firm was led by VestedWorld, an Africa-focused investment outfit based in Chicago, United States.
Other participants include fintech unicorn Interswitch, Rising Tide Africa, EchoVC, Consonance Investment, Five35, Launch Africa, CcHub Syndicate, CMC 21 & Alsa, ShEquity, Sakore, and Nikky Taurus.
Nairametrics reports that after years of bootstrapping, the deal will enable Shuttlers to thrive continentwide as it digitises a transportation system characterised by most people using public transport to commute.
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Shuttlers vision
“Every single time that our buses are on the road, we are reducing the number of cars on the road. We are also optimising routes and reducing the number of buses and emissions on the road,” said Shuttlers founder and Chief Executive Officer Damilola Olokesusi.
“As we proceed, we’ll be very intentional in recording and calculating how much gas emissions we are reducing per route and daily, maybe also release reports on how we’re impacting the environment positively.”
She explained that investors’ interest is the main reason behind the first venture capital intake.
“We were not actively looking for investors; however, there is now more attention in the shared mobility industry because of companies like SWVL. Now, investors are interested in this and think local mobility plays can be valuable solutions.
“We just made the right decision for the company at this particular right time so we can get ready for the opportunity that happens after.
“Now we are ready to take over the African market, starting with Nigerian and West African markets in the next couple of months.”
VestedWorld Managing Director Nneka Eze said the firm believes the funding will help Shuttlers extend offering to adjacent markets as the mobility firm helps solve inefficiencies in transportation across regions in Africa.
Shuttlers evolution
Shuttlers was founded in 2016 but launched in 2017 to help address inefficient transportation systems in Lagos.
Back then, the startup did not have a functional mobile app as it relied on an unconventional online model using Slack, email, and WhatsApp to communicate with customers.
Shuttlers offers three main services:
- B2B2C. Companies split payment of transport fares with their employees whichever way they see fit.
- B2B. Business clients pay complete fares of their employees.
- B2C. Individual customers pay fares themselves.
Shuttlers revamped in 2019 and now offers a fully functional app that allows mobile professionals on its three plans to book rides.
Commuters can book a seat on one of the buses that go along predetermined and scheduled routes and pay even less.
