Vertoe Raises $1.85 Million to Grow On-Demand Short-Term Storage Business
Originally available in New York City only, Vertoe’s service is now available in Boston, Philadelphia and Washington DC as well, with plans to roll out nationally over the next year.
NEW YORK, Oct. 18, 2018 (GLOBE NEWSWIRE) — Vertoe, the on-demand short-term storage company, announces $1.85 million in seed funding, which the company plans to use to expand its service into new markets. The lead investor Ingwe Capital, with support from ff Venture Capital, Techstars (Vertoe is a NYC Winter 2018 Program graduate), and several angel investors.
Vertoe is transforming the short-term storage industry by helping people store their bags and personal items for a few hours or days at local shops and small businesses. Like Airbnb, Vertoe operates as a marketplace and aims to make unused space accessible in a way that benefits consumers and small business owners alike. Vertoe launched in New York City in 2017 and has since expanded to Boston, Philadelphia and Washington DC. Over the past 18 months, Vertoe has partnered with hundreds of small businesses and stored more than 70,000 bags.
Vertoe was founded in late 2016 as a weekend experiment after the founders, Sid Khattri and Neha Kesarwani, experienced their own short-term storage problem. “A couple of years ago, Neha and I were on a multi-city West Coast trip, with LA being our final stop,” says Khattri, CEO at Vertoe. “After checking out of our Airbnb, what was supposed to be a super exciting day where we were going to explore LA turned into a complete nightmare when we got stuck lugging around three suitcases for six hours.” A former Google employee, Khattri figured technology could play a part in solving this problem. “Our goal with Vertoe is to provide instant access to affordable storage within five minutes of wherever you are,” says Khattri.
How Vertoe works:
Consumers can book a Vertoe storage solution online via the company’s website or its mobile app. Users simply enter a street address for the area in which they’d like to store their luggage, as well as their preferred drop-off and pick-up date and time, and Vertoe will display the locations nearby that fit their needs. Bags are stored by businesses using a uniquely coded tamper-proof seal provided free by the storage location. Vertoe covers up to $3,000 in damaged or lost goods for every booking, and all storage locations have been vetted, verified and trained by the company. Pricing starts at $5.95 per day, with discounts for weekly or monthly rentals.
“It was not just that in a short period Vertoe has grown to hundreds of locations and multiple cities, but also that the problem they are solving is far bigger than we realized,” says John Frankel, founding partner of ff Venture Capital. “What we have learned from our research is that there is a huge unmet need in the market for easy and affordable short-term storage, and we wanted to part of Vertoe’s journey.”
With a play on the latin word “Verto,” meaning transformation, Vertoe is focused on creating more space in ever-expanding cities by solving the problem caused by a lack of short-term storage solutions in the market. Headquartered in New York City, Vertoe offers multiple affordable and convenient luggage storage locations close to major transit areas and key tourist spots. For more information, visit www.vertoe.com.