FETII Group RideShare app for young people attracts funding from Mark Kuban, YC

When he was a senior who studied at A&M Texas University, Matthew Yomi realized that he had no good opportunities to transport groups of people. Colleagues who go together at night did not have access to vehicles on request with the same convenience, accessibility and accessibility of typical driving platforms, such as Uber and Lyft.

“After struck this brand from six to seven (person), you had to split up and take multiple cars, which is ineffective and not great for stability. Plus, it’s a more experience because everyone can’t ride together, “said im, who’s already 25 years old, told TechCrunch. “The other option was to book charter vehicles days or weeks in advance.”

The latest choice usually involves paying more hours than the group needs ride, without an easy way to divide pay between friends.

In 2020, he and his co -founder Justin Rath decided to buy a party bus and experiment with the creation of a group of RideShare group on request that serves between seven to 14 passengers. They called it CloseFrench ocean term for extension of the family.

“We like to say that the RideShare mantra brings together people,” IMI said.

Five years later, FETI now claims to work in 68 cities in six states – including Dallas, San Antonio, Houston, Atlanta, Nashville, Phoenix and Scottsdale – and transports over 200,000 passengers every month. And while FETI offers the ability to reserve vehicles in advance, Iommi says that the majority-75% to 80% are requested.

Austin -based startup closed a circle of seeds of $ 7.35 million, led by Mark Kuban, such as the participation of Y Combinator, Goodwater Capital and others. FETI will use this money to expand in new markets, including Florida, California and Massachusetts.

For young people, from young people

FETI is not the first startup to build a business around group rides. Years ago there was ChariotStarting a travel shuttle that Ford acquired in 2016 before Its exclusion in 2019S Iommi explains that the chariot’s focus on employees and traveling trips is a difficult model, as it only requires service for just a few hours in the morning and a few hours in the evening.

In 2022, Uber started Uber Charter In partnership with the US Coachways as a way to help riders book party buses and passenger vans through the app, but that quietly fell apart.

These failures were lessons for Iommi and Rath. Since several college children loaded startup, they “had to come up with a way to start in a city without burning millions of dollars, with these RideShare companies usually doing whenever they just raised these huge circles and just try to understand it. “

Instead of focusing on corporate events, weddings or other uses that charter companies usually focus at the beginning, FETI is directed to college students.

“I think this is the biggest thing that the people before us have not invented is the creation of a service and a brand that is more comprehended to young adults and people who tend to gather in groups more often,” Yomi said.

Most Fetii riders are between the ages of 21 and 30, and cases of use on the platform range from dinners and bachelor parties to weddings and sports games. FETI also provides rides for groups that make corporate events, conferences and festivals.

“They use us several times a week, whether it’s just going to go out with friends or have an official or an event or something like that,” Ily said.

Thinking through the payment system was also a unique challenge for FETII.

“When this van appears, the payment method (riders) looks a lot like lime and bird, by scanning QR code so that every person in the group – instead of one person who has to take the whole payment and hoping to pay back “He can pay her fee individually,” Imita said, noting that the typical tariff is about $ 5 per person.

Focusing first on college students, FETI has developed a play book for scaling.

“We like to start with universities first. We partner with many organs, sports teams, fraternities, socials and we really teach them how the product is used, “he said.

The first ride is always free, which Imomi says helps FETII build a foundation in the College Community. This allows the launch to attract drivers and ensure that there is a balance of search for search.

FETI uses a program called “FETII VSP” (provider of vehicle services) that allows subjects with their own fleets and drivers to place their vans on the FETI platform.

Once the launch establishes a base in the colleges, it expands out. People begin to see the FETI branded vans that move around and spread from mouth to mouth. As Iommi pointed out, any rider in a group can be turned into a customer who can then continue to convert others, leading to healthy, cost -effective growth.

In fact, it was the enthusiastic reviews of one user, Mark Kuban’s daughter, that attracted the billionaire investor and a former Shark Tank star in the seeds of FETII.

“My daughter used nonstop FETI with her friends and admired it,” Kuban told TechCrunch. “She told me I had to invest. So, I turned to Matthew and the more I heard about it, the more I like it. “

When asked whether the Cuban tries to compensate Rejection of Investment Offer in Uber in 2009He said, “Uber was the first, so it was a different market then. FETI has a chance to be global and do incredible things. “

Iommi told TechCrunch that when the business started, the acquisition of Uber or Lyft was first as a strategy for exit. This has changed over time, although FETI will still be interested in partnership with the ride giants.

The Kuban also did not seem jazz for FETII, which walks along the M&A route. “I always prefer to be obscenely profitable and throw money,” he said.