Velofix, a Vancouver-based mobile bike shop operator, announced this week that it secured an undisclosed amount of funding from MacKinnon, Bennett & Co. (MKB), an independent investment firm.
“We are very proud to partner with MKB and to accelerate our growth plans to put more mobile shops on the road and to provide more access for consumers to our light mobility services,” said Chris Guillemet, CEO and co-founder of Velofix, through a press release.
Launched in 2013, Velofix disrupted the traditional bike repair shop by launching a mobile-based servicing model. Its fleet of franchised bike shops on wheels, the largest in North America, is even equipped with coffee machines and free Wi-Fi.
The investment is meant to expand Velofix’s geographic reach within North America. The company currently lists operations in five Canadian provinces, 26 American states and Washington, D.C. The money will also “enhance its technological backbone, scale its marketing efforts and generally support Velofix’s growth,” said the two companies through a joint statement.
Montreal-based MKB, a growth equity fund focused on the clean energy, transportation and smart city sectors, highlighted two key dynamics in the cycling industry as part of its motivation: growing bike ridership and increasing demand for alternatives to traditional brick-and-mortar retail.
“Like so many industries that have been transformed by direct-to-consumer business models, velofix will reshape the cycling industry. We are very excited to partner with a talented management team that is capitalizing on an incredible opportunity to scale its innovative light mobility services business,” said Antonio Occhionero, a partner at MKB.
The global bicycle market is forecast to reach a value of over US$75 billion by 2025, according to market research firm Grand View Research, with an expected compound annual growth rate of 6.1% during the same period.
