Series BUdrive

Udrive rents cars by the minute for UAE drivers who skip ownership

A pay-per-minute car-rental app where UAE drivers pick up a nearby car, pay only for the minutes used, and drop it at any parking spot in the city.

تطبيق إماراتي لتأجير السيارات بالدقيقة يتيح استلام أقرب سيارة والدفع حسب الاستخدام ثم إرجاعها في أي موقف.

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  1. The Bottleneck

    What was broken?

    Young urban drivers neither want to own a depreciating car nor lock income into one, yet still need on-demand driving without rental-counter friction.

  2. The Move

    Why it worked

    First to fractionalise regional mobility with rent-by-the-minute pricing and free-floating pickup and drop-off, priced below traditional alternatives.

  3. The Trap

    Battle scars

    Fleet-doubling execution, regional expansion across MENAT, and data-driven pricing against carshare rivals.

The problem

A large share of the UAE’s driving-age population is digitally savvy but unwilling to sink income into a depreciating car — while traditional rentals demand counter visits, daily minimums, and paperwork that kill spontaneity.

How it works

Udrive fractionalised mobility: open the app, take the nearest car, pay per minute, and leave it in any city parking spot. Its in-house technology stack and SaaS platform run fleet allocation, customer accounts, and trip counts, which the company says scales five times faster than traditional operators.

Pain points

Ownership capital that expats would rather not lock up, inflexible rental minimums, and post-pandemic preference for a private car over a shared ride without owning one.

Business model

Per-minute rental fares on free-floating one-way trips, with fleet growth funded round by round and a SaaS platform underpinning operations.

Challenges

Doubling the fleet in months without crushing utilisation, expanding across MENAT with different regulations per market, and sharpening data analytics to price against rival carshare operators.

Funding

  • Raised: $5M bridge round from Cultiv8 (the UAE government’s SME and startup investment arm) and Oman Holding International (Feb 2022, WAYA) for regional expansion and technology upgrades.
  • Earlier: $5M round from undisclosed investors including regional business leaders and venture capitalists (Jul 2021, Wamda).

Latest — February 2022

Udrive closed the $5M bridge round with Cultiv8 and Oman Holding International to fund Middle East expansion and platform enhancements including an automatic parking-payment system.

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