Getaround, a company that helps the vehicle owners to hire their cars, trucks and SUVs, closing their American operations one year after cutting 30% of their North American workforce. ReorganizationIts Hyrecar Business, which he acquired in 2023 For $ 9.45 millionIs also closed.
The company said on Wednesday Regulator filing Also in an email sent to American customers, it now focuses on its European business, where it operates in six countries including Norway, Spain, France, Germany, Belgium and Austria.
The email that Techcrunch has seen, urged customers to hire a car by the end of Wednesday to avoid any coverage intervals and said “now” is the risk of not being able to provide liability insurance coverage in America “
“If you don’t, you may be personally responsible for sure that it is the necessary liability insurance coverage,” reads email. Getaround said that its car protection program would no longer apply to any vehicle not returned by the end of the day, which means that customers will be responsible for any loss.
Getaround, which was established in San Francisco in 2009 and a Techcrunch Startup Battlefield Finalist in 2011, has a roller coaster history.
The company was a VC Darling, which included more than $ 750 million from high-profile investors, including high-profile investors, including the high-profile investors. $ 300 million In a round led by SoftBank Vision Fund. Other gateround investors include Menlo Ventures, Peepalfund, Reid Hoffman and Mark Pinnus’ Renvent Capital, and Vactoic Partners Steve Girski, Mary Chan and Julia Stan.
Getaround used that money to other cities and eventually to expand to Europe Acquisition of $ 300 million And Norweigan car rental company nabobilBoth in 2019.
Company Visified public in 2022 A special purpose was merged with the acquisition company, but soon ran into trouble. It received within months of public going into public Warning notice From New York Stock Exchange. It also went through the trimming 2023 And 2024.
‘The air down systematically’
The board approved a “orderly wind” of the car-sharing business in the United States on 7 February, which includes the closure of all American employees, according to the regulatory filing posted on Wednesday. Most of the workers will end their employment on 14 February, which are some of the remaining to help closure the business.
Getaround estimates that this will apply a fee between $ 1.5 million to $ 2 million in relation to the cut-in-foot.
This systematic air may seem chaotic to any customer who was rented out or employed. In an email to the customers, Getaround said it would support rent (including insurance coverage) by the end of Wednesday, making customers a very short time to return vehicles. The company has also canceled any future American fare.
“We are working closely with the hosts and drivers to return the vehicles as soon as possible,” reads the email. “Any outstanding claims or balance will be handled through the air-down process.”
Interim CEO and COO AJ Lee, who would be withdrawing from the post, said in a statement that it was “an incredibly difficult decision, one that was not made lightly and only after considering carefully on various strategic options. . ”
Lee said “Despite the significant reforms in overall profitability and comprehensive reorganization efforts, the company has faced a lack of liquidity that has not operated us which is no longer feasible.”
