Ride-hailing app inDriver has raised a $5 million Series A round from Leta Capital, TechCrunch reports.
This startup from Yakutsk, Siberia has an unusual business model: passengers enter the price they are willing to pay, while drivers accept the orders only upon agreement of the fare.
“inDriver does not influence price formation and does not take a commission from drivers. All drivers do is simply pay by the hour to use the app, at a flat rate. A passenger can pay either with cash, or with credit card, but payment happens only directly between driver and rider,” reports the US tech publication.
The startup claims to serve 70 cities in Russia and neighbouring countries with up to 5 million trips made each month.
inDriver intends to use Leta Capital’s cash to launch its service in India, the USA and Canada.
Leta Capital is the venture arm of the Russian IT security holding Leta Group. Established in 2012, the fund has already invested in air screen maker Displair, social app Budist, bank software publisher Double Data , SDN/NFV solution provider Brain4Net, and other startups essentially in Russia.
