Mar 15, 2018, 2:10 pm EDT
Update Mar 15, 2018, 2:19 pm EDT
Karhoo, the car-sharing company whose founder had burned through all of its cash, is apparently up and running again.
The British startup, which has a U.S. headquarters in New York, announced a partnership with Conferma, a financial technology company known for providing virtual-card technology to the corporate travel industry.
“Hectic lifestyles and a need for convenience are fueling a new era of consumer, reliant on breakthrough technologies that deliver on cost and ease of use,” Gavin Smith, head of travel partnerships at Karhoo stated. “A major added benefit for travellers is the ability to book or pre-book transport fast, as well as arriving at the other end without the hassle of making payment or worrying about cash.”
The goal is to make the payment process for both travellers and their organizations much easier by allowing Karhoo customers to automate payment plans for their travel, as well as track expenses.
Ironically, untracked expenses is what hurt Karhoo back in 2016 when the company’s founder Daniel Ishag expensed everything from designer shoes, clothes, veterinarian bills, first-class flights, parties in Las Vegas and Cuban cigars to the company.
All Ishag said on the topic was that Karhoo “had to close its service.” He later revealed that he greatly exaggerated the amount of venture capital Karhoo had in its coffers.
Karhoo was bought out of administration by RCI Bank and Services, a French Bank specializing in automotive financing.
It employs 85 people out of New York, London and Paris. Perhaps combining technology with Conferma, which has been around since 2005, will give the company a second chance.
“As a business owner, I understand the importance of tight controls and cost efficiencies in order to propel growth,” Conferma founder and CEO Simon Barker said. “We want to support international businesses by enabling them to cut corporate costs across all travel areas, without having to scale back.