Peer-to-peer service Karshare turns off ignition after running out of road

A peer-to-peer car-sharing service backed by wealthy investors including the former Saracens rugby club owner Nigel Wray has ceased trading.

Sky News has learnt that Karshare, which was set up in 2016 by Andy Hibbert, has appointed Azets, the accountancy firm, as administrator after running out of funding.

The company was initially focused on airport car rental, and raised funding from investors including Mr Wray and Founders Factory.

It also secured money through a crowdfunding campaign on the Seedrs platform.

Karshare saw its revenues decimated by the pandemic’s impact on international travel, and pivoted to become a peer-to-peer vehicle-sharing platform in the belief that it could replicate Airbnb’s model in short-term holiday rentals.

In total, it had facilitated roughly 20,000 journeys since the beginning of 2021, raising approximately £10m since its launch.

Grocery inflation eases to ‘slowest monthly rate this year’

More than 6m people with disabilities to start receiving £150 cost of living payment

UK billionaire Hamish Harding on board missing Titanic submersible, family confirms

The company traded in UK cities including Bristol, London and Manchester.

Mr Hibbert told Sky News: “Facing into unforeseen headwinds requires investment – a necessary oxygen providing time to push through.

“Investor sentiment remained cautious given continued uncertainties, and these extended to Karshare where the increased cost of living lowered rental demand.

“I would like to thank everyone who has backed and supported Karshare over the years, who believed in the idea, and inspired us to succeed, and a special thanks to the Karshare team and partners who worked so hard to make it possible.”

Related posts:

Retirement schemes warning over £7bn Morrisons takeover deal Ryanair blames UK government and Belfast airports as it pulls out of Northern Ireland NHS software supplier Realworld Health plots £100m London listing More than 70 cargo ships queue outside Californian ports amid surge in US imports Ford nears decision to build electric vehicle system at Halewood plant Energy price cap, businesses go digital, and a pet reference platform US economy sees strongest growth since 1984 as it bounces back after COVID-19 downturn Shell reports record operating profits of $9.1bn but takes $4bn hit from Russia withdrawal Interest rates, international travel and rising price of milk Roman Abramovich says claims he wants £1.5bn Chelsea FC loan back are ‘entirely false’ ‘One pay cheque away from homelessness’: Striking workers tell their stories Greene King sees some costs start to ease as it toasts bounce in annual profits