May 25, 2022

SmartHop, a startup that uses AI to help truckers make their routes more efficient and attractive by eliminating administrative hassles, just raised a $30 million Series B funding round, bringing the company’s total funding to $46 million. Comes after the $12 Series A. million last year.

The startup’s core offering is Smart Shipping, which advises truckers to pay for freight by optimizing mileage and travel time based on the capacity of their trucks, the cities they drive in, and other details. With the new capital, SmartHop plans to focus more on its fintech products, such as the company’s fuel card program, which offers fuel discounts and other benefits, or SmartHop’s insurance offerings.

“Fuel prices and insurance premiums in the trucking industry are skyrocketing and hurting the profits of small truckers (our main market) and SmartHop just did a study showing fuel and insurance costs are on the rise. There are two biggest problems,” says Guillermo. . SmartHop co-founder and CEO Garcia told gaming-updates.

With fuel prices so high today, smaller trucking companies already have less ability to negotiate fuel rates and are therefore subject to higher diesel rates, according to the company. SmartHop’s access to a large network of brokers, marketplaces and partners can give small businesses access to better rates.

Other companies such as CloudTrucks are trying to alleviate the problems of smaller used truck companies with a variety of transportation and financial products.

SmartHop typically uses the money to scale its platform and expand its team, according to a company statement.

Freight transport is a tricky business. This puts a strain on the body and mind of truck drivers as they spend hours in social isolation and experience physical discomfort. Not to mention the stress of shutting down thousands of broker websites and apps, trying to plan schemes and gain control of their earnings.

Last year, according to the American Trucking Association, trucking companies in the United States faced a record shortage of 80,000 drivers, which some say contributed to disrupting the supply chain. While autonomous trucking startups are getting more and more money from investors, the latest round of SmartHop shows that making the job of the average trucker easier is a real priority today.

This does not mean that the SmartHop business model is not designed for the future. Garcia said that while we don’t come close to having autonomous trucks on our highways, the SmartHop service is just as relevant for manual truck companies that choose to operate autonomous trucks.

Sozo Ventures led Series B of SmartHop, and it also featured existing investors such as Union Square Ventures, RyderVentures, Greycroft, Equal Ventures, Las Olas VC and The Fund, as well as business angels from the logistics and transportation industries.

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