Fleet has successfully closed a $2.5 million seed round led by Congruent Ventures, aimed at expanding its scalable, low-cost solution to help employers engage employees and promote sustainable commuting habits.
Fleet, a modern commuter benefits management platform, has announced the close of its $2.5 million seed round led by Congruent Ventures with the participation of Great Oaks Venture Capital, Plug and Play Ventures, Rally Cap, and Virta Ventures. Fleet also brought on a strong bench of angels and advisors, with leaders in HR and fintech, including former execs at Robinhood and Brex, such as ex-COO Michael Tannenbaum.
The seed round brings Fleet’s total venture capital raised to date to $5 million. The seed funding will support Fleet’s exclusive focus on enhancing and deploying its signature commuter benefits management platform, a low-cost, scalable solution for employers to attract and retain talent, comply with commute mandates, and promote sustainable transportation.
The recent rise of hybrid schedules and return-to-office (RTO) programs has brought new complexities and employee expectations to commuting. At the same time, employers are scrambling to find solutions to comply with new mandates, requiring companies of a certain size to offer pre-tax commuter benefits programs to employees. These mandates, coupled with less predictable work schedules, have made it a challenge for HR managers to implement and manage tax-advantaged commuter benefits programs using legacy solutions and for employees to take full advantage of the benefits available.
Additionally, commuter benefits are integral to talent attraction and employee retention, as they help employers stand out by offering comprehensive benefits packages that include health, dental, vision, and commuter benefits.
“When implemented the right way, commuter benefits programs reduce costs while supporting public transportation and its many positive social impacts. Benefits administration services that are complicated for employers to adopt and frustrating for employees to navigate have prevented these programs from reaching their full potential for too long,” said Shaurya Saluja, Co-Founder & CEO of Fleet. “We’ve shown that the Fleet platform can change that, and with support from our seed investors, we’re ready to bring better commuter benefits management and great results to locations around the U.S. As we do, we’ll save companies and their employees money while reducing GHG emissions from transportation–the biggest contributor to climate change in the country today–and boost corporate sustainability.”
Fleet’s platform makes it easy for employers to deploy, scale, and manage a commuter benefits program across an entire enterprise, seamlessly integrating into HR, accounting, and finance systems. Employees can view and manage their benefits without additional back-office overhead, cumbersome reimbursement, or accounts payable processes. They can easily take advantage of incentives offered by their employers and make commutes less carbon-intensive and more rewarding. Fleet’s solutions see a 3x faster adoption rate from employees, with a 70% reduction in customer support inquiries and 50% cost savings compared to legacy systems.
"As commuters have returned to the office and cities across the country are mandating employers offer employees pre-tax deductions for commuting spend, there is an enormous need for Fleet, an easy-to-use platform with advanced reporting and analytics that makes it easier for both employers and employees to take advantage of low carbon commuter benefits,” said Jackie Kossmann, Partner at Congruent Ventures. “The value proposition resonated with us so clearly that not only did we invest, we are also a Fleet user!"
Jurisdictions requiring certain businesses to offer commuter benefits to their employees currently include Chicago, Denver, Washington, D.C., Los Angeles, New Jersey, New York City, Philadelphia, San Francisco, and Seattle.
About Fleet
Fleet is a modern commuter benefits management platform that simplifies compliance with new mandates for businesses and incentivizes more sustainable transportation for employees. Fleet enables HR professionals to implement and scale commuter benefits across their entire enterprise quickly and easily, empowering employees to choose less carbon-intensive commuting options while reducing costs. Fleet offers automated commute analysis, customized program configuration, and backend support for invoicing and payments, auto-deducts, employer subsidies, corporate discounts, and tax benefits. In addition to lowering the cost of benefits programs and corporate taxes, Fleet delivers precise emissions reduction data that improves corporate sustainability profiles. Investors in Fleet include Congruent Ventures and Virta Ventures, among others. For more information, please visit movewithfleet.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240827705139/en/
Contacts
Josh Garrett
fleet@redwoodclimatecomms.com
