Zagster Adds $3.5M to Expand Targeted Bike-Sharing Programs
Bikes are hot. The sharing economy is hot. So Zagster is hot.
The Cambridge, MA-based bicycle-sharing company said today it has raised $3.5 million in new venture funding. The money comes from previous investors LaunchCapital, Fontinalis Partners, Clean Energy Venture Group, LaunchPad Venture Group, and Boston-area angel investors, as well as new investor Otter Consulting. The company has raised a little over $6 million to date and has about 25 employees.
Zagster has been around since 2007, but it seems to be hitting its stride now. The company’s Zipcar-like bike service is available in 50 cities (in 28 states), and it targets corporate and college campuses as well as underserved municipalities. Its customers include General Motors, Samsung, and Quicken Loans; universities such as Ohio State, Duke, Yale, and Princeton; hotels including Hyatt and The Four Seasons; and cities like Cleveland and Albuquerque.
Zagster is led by CEO and co-founder Tim Ericson. The company went through the Techstars Boston accelerator program in 2012.