Karshare
The business, the turning points, and the decisions behind them.
01 / WHAT IT BUILT
What the company did
Karshare was a UK peer-to-peer car-sharing platform founded in 2016 by Andy Hibbert, aiming to replicate Airbnb's model for cars by connecting idle cars with people who needed them. It initially focused on airport car rental, then pivoted to community car sharing in cities including Bristol, London and Manchester. The platform facilitated more than 20,000 rentals, and the company raised about 10 million pounds from investors including Nigel Wray and Founders Factory, plus a Seedrs crowdfunding campaign.
02 / Karshare FAILURE REASONS
Failure factors
Karshare ceased trading after running out of cash and appointed Azets as administrator; founder Andy Hibbert said further investment was needed but investor sentiment stayed cautious and cost-of-living pressures lowered rental demand.
Company ceased trading after running out of cash.
Founder said headwinds required investment that did not materialize amid cautious investor sentiment.
Increased cost of living lowered rental demand.
03 / EVENT HISTORY
Events in the structured record
- Liquidation
London Gazette notice 4408959: CARANDAWAY LIMITED trading as Karshare entered Creditors liquidation on 20 July 2023 with Azets liquidators appointed by members and creditors, after City A.M./Sky reported June cease-trading and administration.
04 / CONTEMPORARY REBUILD ASSESSMENT
Difficulty of rebuilding this project today
Material for this section is being gathered and checked. It will appear here once ready.
Overall assessment: Not completed
05 / CAUSAL CHAIN
How the factors connect
- 01
On June 21, 2023 Karshare announced its journey had come to an end and it was no longer operating, after running out of funding.
- 02
The company appointed Azets, the accountancy firm, as administrator.
- 03
Pandemic damage to international travel had decimated its original airport-rental revenues; the pivot to peer-to-peer sharing raised roughly 20,000 journeys since 2021 but could not survive cautious investor sentiment and weaker rental demand.
- 04
No public loss figure was disclosed for the closure.